Eastern District of New York

Jesus Guzman-Castro, also known as “Chuy,” “El Narizon” and “Pinocho” was arraigned today before United States Magistrate Judge James R. Cho at the federal courthouse in Brooklyn on an indictment charging him with participating in a large-scale cocaine distribution conspiracy.  The defendant, a Mexican citizen, was arrested in Mexico on a provisional arrest request issued from the Eastern District of New York and subsequently transferred from Mexico to the United States on August 12, 2025 pursuant to Mexico’s National Security Law.  Guzman-Castro was ordered detained pending trial. 

Joseph Nocella, Jr., United States Attorney for the Eastern District of New York, and Frank A. Tarentino III, Special Agent in Charge, Drug Enforcement Administration, New York Division (DEA New York), made the announcement.

“As alleged, Guzman-Castro was a senior member of the Sinaloa Cartel, a prolific and violent drug trafficking organization that has flooded American streets with deadly narcotics for decades,” stated United States Attorney Nocella.  “Guzman-Castro will now face justice in a courtroom in the United States for all the harm his actions have wrought. The total elimination of drug cartels is a national priority, and the Department of Justice and our Office are fully committed to carrying out that objective.” 

Mr. Nocella also expressed his appreciation to the U.S. Attorney’s Office for the District of South Carolina, DEA’s Rocky Mountain Division, DEA’s office in Mexico City, the United States Marshals Service, the Department of Justice’s Office of International Affairs, and the Government of Mexico.

“The arrest and transfer of Jesus Guzman-Castro is the result of the relentless efforts of the DEA and our law enforcement partners to dismantle the most dangerous drug trafficking organizations” stated DEA New York Special Agent in Charge Tarentino.  “For decades, Guzman-Castro helped flood American streets with deadly narcotics, and the DEA remains committed to pursuing those who threaten the safety and well-being of our communities.”

As set forth in the indictment and court filings, Guzman-Castro was a high-ranking member of the Sinaloa Cartel, a violent Mexican drug trafficking organization that was previously led by Ismael Zambada Garcia, also known as “El Mayo,” and Joaquin Archivaldo Guzman Loera, also known as “El Chapo.”  As a senior member of the Sinaloa Cartel, Guzman-Castro oversaw numerous underlings, including armed gunmen, transporters of narcotics, and money launderers.  For years, the defendant directed the trafficking of thousands of kilograms of cocaine and the laundering of millions of dollars in drug proceeds. Guzman-Castro is charged with participating in an international cocaine distribution conspiracy from December 2015 through March 2021.  Guzman-Castro sourced thousands of kilograms of cocaine from drug trafficking organizations in Guatemala and then arranged for the transportation of the cocaine through Mexico and into the United States. 

The charge in the indictment is an allegation, and the defendant is presumed innocent unless and until proven guilty. If convicted, the defendant faces up to life in prison.

The prosecution of Guzman-Castro is the result of an ongoing Organized Crime Drug Enforcement Task Forces (OCDETF) investigation led by the United States Attorney’s Office for the Eastern District of New York and the DEA.  The principal mission of the OCDETF program is to identify, disrupt, and dismantle the most serious drug trafficking, weapons trafficking, and money laundering organizations, and those primarily responsible for the nation’s illegal drug supply.  OCDETF uses a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks.

This case is part of Operation Take Back America, a nationwide initiative that marshals the full resources of the Department of Justice to repel the invasion of illegal immigration, achieve the total elimination of cartels and transnational criminal organizations (TCOs), and protect our communities from the perpetrators of violent crime. Operation Take Back America streamlines efforts and resources from the Department’s Organized Crime Drug Enforcement Task Forces (OCDETFs) and Project Safe Neighborhood (PSN).

The government’s case is being handled by the Office’s International Narcotics and Money Laundering Section.  Assistant United States Attorney Andrew D. Wang is in charge of the prosecution. 

The Defendant:

JESUS GUZMAN-CASTRO (also known as “Chuy,” “El Narizon” and “Pinocho”)
Age: 56
Mexico

E.D.N.Y. Docket No. 22-CR-278 (FB) 

Earlier today, in federal court in Central Islip, Niall Alli was sentenced by United States District Judge Gary R. Brown to 48 months in prison, in connection with a $1.7 million disaster relief fraud and wire fraud perpetrated during the height of the COVID-19 pandemic.  As part of the sentence, Alli was also ordered to pay $1.7 million in restitution to the Small Business Administration (SBA) and approximately $135,000 in forfeiture consisting of assets seized from corporate bank accounts and Ethereum from a corporate Coinbase wallet.  Alli pleaded guilty in December 2023.

Joseph Nocella, Jr., United States Attorney for the Eastern District of New York, and Daniel Brubaker, Inspector in Charge, United States Postal Inspection Service, New York Division (USPIS) announced the sentence.

“Alli saw the COVID-19 programs and the deadly pandemic as an avenue for stealing money from the government and taxpayers, to spend nearly $500,000 to purchase cryptocurrency, $140,000 on two wristwatches, a $36,000 stay at a luxury Manhattan hotel, and an $800 bottle of champagne and $600 bottle of Scotch at fine restaurants,” stated United States Attorney Nocella.  “The defendant now knows the price of such conduct is the loss of his freedom and full restitution to the Small Business Administration.  Today’s sentence should also put scammers like the defendant on notice that there is no free pass for those who take advantage of important relief programs.”

Mr. Nocella expressed his appreciation to the SBA for their partnership on the case.

“Alli's compulsion for fraud resulted in government money intended to assist struggling businesses during the COVID-19 pandemic, exploited for a short-lived lavish lifestyle. Today's sentencing is proof that Postal Inspectors will relentlessly pursue any individuals who take advantage of the U.S. Mail to defraud the government and steal taxpayer funds. I would like to thank the United States Attorney's Office, Eastern District of New York, and the Small Business Administration for their work on this investigation,” stated USPIS Inspector in Charge Brubaker. 

As set forth in court filings, Alli was associated with two corporate entities, Allicorp, Inc. and Oxypaper, Inc.  Between approximately April 2020 and November 2021, during the height of the COVID-19 pandemic, Alli engaged in a scheme to defraud the SBA and several financial institutions administering the Paycheck Protection Program (PPP) of federal COVID-19 emergency-relief funds meant for distressed small businesses. Alli fraudulently applied for, and received, four PPP loans, totaling over $1.7 million, on behalf of the two corporate entities he controlled.  The applications contained false information, including bogus financial data and fabricated payrolls, which was designed to fraudulently induce the SBA and lenders administering the PPP programs to approve the loans.  Once the loans were approved and disbursed, Alli filed fraudulent forgiveness applications supported by fictitious financial statements and false statements.  Alli utilized the loan proceeds to enrich himself, including by discharging personal debts and making extravagant purchases.  For example, he purchased two Patek Philippe wristwatches for $138,568; paid for private school tuition for his child; purchased nearly half a million dollars’ worth of cryptocurrency; and spent tens of thousands of dollars on luxury hotel stays.

The government’s case is being handled by the Criminal Section of the Office’s Long Island Division.  Assistant United States  Attorney Charles P. Kelly is in charge of the prosecution, with assistance from Paralegal Specialists Samantha Schroder and Ana Maria Tejada.  

The Defendant:

NIALL ALLI
Age:  52
Inwood, New York   

E.D.N.Y. Docket No. 22-CR-395 (S-1) (GRB)

CENTRAL ISLIP, NY – The Justice Department announced today the successful completion of an agreement between Suffolk County, New York, Police Department (SCPD) and the Department of Justice.  Entered into in 2014, the agreement called for SCPD to improve bias-free policing, increase community engagement, and develop additional policies and training, among other things.  With support from the Justice Department, as set forth in a report issued today, SCPD has now achieved sustained substantial compliance with all of the agreement’s terms.

“The Suffolk County Police Department is to be commended for taking the steps necessary to achieve the objectives of the 2014 agreement with the Department of Justice and our Office,” said U.S. Attorney Joseph Nocella Jr. for the Eastern District of New York.  “Policing in Suffolk County has been enhanced and become more responsive to community needs.  The partnership between our Office and the SCPD has strengthened the safety of all residents of the County.”

“Suffolk County Police Department’s commitment to protecting the public in a constitutionally compliant way is commendable,” said Assistant Attorney General Harmeet K. Dhillon of the Justice Department’s Civil Rights Division.  “This Department of Justice is committed to collaborating with law enforcement to make American communities safer.”

SCPD implemented language assistance policies and deployed resources to ensure that people with Limited English Proficiency have meaningful access to police services.  It improved reporting and supervision throughout the department.  It also improved policies, training, and tracking to better handle hate crimes and misconduct complaints.

Please click here to read the Cover Letter and Final Suffolk Report.

The Justice Department announced today the successful completion of an agreement between Suffolk County, New York, Police Department (SCPD) and the Department of Justice. Entered into in 2014, the agreement called for SCPD to improve bias-free policing, increase community engagement, and develop additional policies and training, among other things. With support from the Justice Department, as set forth in a report issued today, SCPD has now achieved sustained substantial compliance with all of the agreement’s terms.

“Suffolk County Police Department’s commitment to protecting the public in a constitutionally compliant way is commendable,” said Assistant Attorney General Harmeet K. Dhillon of the Justice Department’s Civil Rights Division. “This Department of Justice is committed to collaborating with law enforcement to make American communities safer.”

“The Suffolk County Police Department is to be commended for taking the steps necessary to achieve the objectives of the 2014 agreement with the Department of Justice and our Office,” said U.S. Attorney Joseph Nocella Jr. for the Eastern District of New York.  “Policing in Suffolk County has been enhanced and become more responsive to community needs.  The partnership between our Office and the SCPD has strengthened the safety of all residents of the County.”

SCPD implemented language assistance policies and deployed resources to ensure that people with Limited English Proficiency have meaningful access to police services. It improved reporting and supervision throughout the department. It also improved policies, training, and tracking to better handle hate crimes and misconduct complaints.

Please click here to read the Cover Letter and Final Suffolk Report

A New York woman pleaded guilty today to conspiring to defraud Medicaid and pay health care kickbacks at her two Brooklyn social adult day cares. 

“The defendant orchestrated a massive scheme to defraud Medicaid, bribing patients to bill a federal health care program for over $68 million,” said Acting Assistant Attorney General Matthew R. Galeotti of the Justice Department’s Criminal Division. “Americans will not stand for these schemes that target government programs intended to help society’s most vulnerable members and steal from the public fisc. As demonstrated by today’s announcement, we will continue to aggressively prosecute those who take part in these crimes.”

“With today’s guilty plea, Khan stands convicted of acting as the ringleader of a scheme responsible for stealing millions of dollars dedicated to the government’s health care safety net,” stated U.S. Attorney Joseph Nocella Jr. for the Eastern District of New York. “Our office and the Justice Department take seriously our responsibility to protect government funds from the clutches of fraudsters and will vigorously prosecute corrupt health care operators like the defendant.”

“Social adult day care and home health services are intended to support seniors, not serve as vehicles for fraud,” stated Deputy Inspector General for Investigations Christian J. Schrank of the U.S. Department of Health and Human Services Office of Inspector General (HHS-OIG). “The defendant’s actions are an affront to hardworking taxpayers and undermine the integrity of our nation’s health care system. HHS-OIG will continue to relentlessly pursue anyone who illicitly exploits Medicaid enrollees and the program itself to ensure they are held fully accountable.”

“Zakia Khan has admitted her involvement in a sweeping scheme that defrauded the U.S. government of $68 million in welfare funds meant for one of our country’s most vulnerable populations,” stated Special Agent in Charge Ricky J. Patel of Immigration and Customs Enforcement Homeland Security Investigations (HSI) New York. “Today’s guilty plea underscores not only the lengths criminal opportunists often take, but also the state-of-the-art skills and procedures utilized by HSI New York to stop them in their tracks.”

“Zakia Khan stole $68 million from the Medicaid program through bribes and kickbacks—money meant to support the most vulnerable,” stated NYPD Commissioner Jessica S. Tisch. “This fraudulent cash grab exploited a federal health care system that people depend on, and the NYPD will keep holding accountable anyone who tries to take advantage of it.  Today’s guilty plea is another step towards justice, and I am thankful to the NYPD investigators, all our law enforcement partners, and the prosecutors for their meticulous work on this case.”

According to court documents, Zakia Khan, 54, of Brooklyn, owned two social adult day cares: Happy Family Social Adult Day Care Center Inc. and Family Social Adult Day Care Center Inc., Responsible Care Staffing Inc., a home health care fiscal intermediary, and Tanwee Services Inc., an entity used to receive and disguise fraud proceeds. Beginning in approximately October 2017 and continuing through approximately July 2024, in exchange for kickbacks and bribes, Khan and marketers whom she employed referred Medicaid recipients to the social adult day cares that she owned, and Khan and the marketers in turn paid kickbacks and bribes to Medicaid recipients for social adult day care services that the day cares billed to Medicaid, but were not provided or that were induced by kickbacks and bribes. Khan and her co-defendants used multiple business entities to launder the fradulent proceeds and generate the cash used to pay kickbacks and bribes. In connection with her plea, Khan agreed to forfeit $5 million, including two properties, cash, and gold jewelry seized during a search of her home.

Khan pleaded guilty to conspiracy to commit health care fraud and conspiracy to defraud the United States and to pay and receive health care kickbacks. She is scheduled to be sentenced on Jan. 28, 2026, and faces a maximum penalty of 15 years in prison. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.

HHS-OIG, HSI, and the NYPD are investigating the case.

Trial Attorneys Patrick J. Campbell and Leonid Sandlar of the Criminal Division’s Fraud Section are prosecuting the case with the assistance of Assistant U.S. Attorney Michael Castiglione for the Eastern District of New York, who assisted with forfeiture matters.

The Fraud Section leads the Criminal Division’s efforts to combat health care fraud through the Health Care Fraud Strike Force Program. Since March 2007, this program, currently comprised of 9 strike forces operating in 27 federal districts, has charged more than 5,800 defendants who collectively have billed federal health care programs and private insurers more than $30 billion. In addition, the Centers for Medicare & Medicaid Services, working in conjunction with HHS-OIG, are taking steps to hold providers accountable for their involvement in health care fraud schemes. More information can be found at www.justice.gov/criminal-fraud/health-care-fraud-unit.

BROOKLYN, NY – Zakia Khan pleaded guilty in federal court in Brooklyn today to conspiring to defraud Medicaid of approximately $68 million through the payment of kickbacks and bribes at two Brooklyn social adult day care centers that she owned in Coney Island.  When sentenced, Khan faces up to 15 years in prison.  As part of her plea agreement, Khan agreed to forfeit $5 million, including several properties, and more than $300,000 in cash and gold jewelry seized by law enforcement during a search of her home.  The proceeding was held before United States District Judge Natasha C. Merle.

Joseph Nocella, Jr., United States Attorney for the Eastern District of New York; Matthew R. Galeotti, Acting Assistant Attorney General of the Justice Department’s Criminal Division; Christian J. Schrank, Deputy Inspector General for Investigations, U.S. Department of Health and Human Services, Office of Inspector General (HHS-OIG); Ricky J. Patel, Special Agent in Charge, Homeland Security Investigations, New York (HSI New York); and Jessica S. Tisch, Commissioner, New York City Police Department (NYPD) announced the guilty plea. 

“With today’s guilty plea, Khan stands convicted of acting as the ringleader of a scheme responsible for stealing millions of dollars dedicated to the government’s health care safety net,” stated United States Attorney Nocella.  “Our Office and the Justice Department take seriously our responsibility to protect government funds from the clutches of fraudsters and will vigorously prosecute corrupt health care operators like the defendant.” 

“The defendant orchestrated a massive scheme to defraud Medicaid, bribing patients to bill a federal health care program over $68 million,” stated Acting Assistant Attorney Galeotti.  “Americans will not stand for these schemes that target government programs intended to help society’s most vulnerable members and steal from the public fisc.  As demonstrated by today’s announcement, we will continue to aggressively prosecute those who take part in these crimes.”

“Social adult day care and home health services are intended to support seniors, not serve as vehicles for fraud.  The defendant’s actions are an affront to hardworking taxpayers and undermine the integrity of our nation’s health care system,” stated Deputy Inspector General for Investigations Schrank of the HHS-OIG.  “HHS-OIG will continue to relentlessly pursue anyone who illicitly exploits Medicaid enrollees and the program itself to ensure they are held fully accountable.”

“Zakia Khan has admitted her involvement in a sweeping scheme that defrauded the U.S. government of $68 million in welfare funds meant for one of our country’s most vulnerable populations,” stated HSI New York Special Agent in Charge Patel.  “Today’s guilty plea underscores not only the lengths criminal opportunists often take, but also the state-of-the-art skills and procedures utilized by HSI New York to stop them in their tracks.”

“Zakia Khan stole $68 million from the Medicaid program through bribes and kickbacks—money meant to support the most vulnerable,” stated NYPD Commissioner Tisch. “This fraudulent cash grab exploited a federal health care system that people depend on, and the NYPD will keep holding accountable anyone who tries to take advantage of it.  Today’s guilty plea is another step towards justice, and I am thankful to the NYPD investigators, all our law enforcement partners, and the prosecutors for their meticulous work on this case.”

As set forth in court filings, Khan owned two social adult day care centers, Happy Family Social Adult Day Care Center Inc. (Happy Family) and Family Social Adult Day Care Center Inc. (Family Social), a home health care fiscal intermediary, and Tanwee Services Inc., an entity used to receive and disguise fraud proceeds.  Beginning in approximately October 2017 and continuing through approximately July 2024, Khan and marketers she employed referred Medicaid recipients to Happy Family and Family Social.  Khan and the marketers in turn paid kickbacks and bribes to Medicaid recipients for social adult day care services that Happy Family and Family Social billed to Medicaid, but were not provided or were induced by kickbacks and bribes.  Khan and her co-defendants used multiple business entities to launder the health care fraud proceeds and generate the cash used to pay kickbacks and bribes. Co-defendants Seema Memon and Amran Hashmi, who were employees of Khan, previously pleaded guilty and are awaiting sentencing.  Eleven additional co-defendants are awaiting trial.

Trial Attorneys Patrick J. Campbell and Leonid Sandlar of the Criminal Division’s Fraud Section are prosecuting the case with the assistance of Assistant U.S. Attorney Michael Castiglione of the Eastern District of New York who is handling forfeiture matters.

The Defendant:

ZAKIA KHAN
Age: 54
Brooklyn, New York

Defendants Who Previously Pleaded Guilty:

SEEMA MEMON
Age:  30
Brooklyn, New York

AMRAN HASHMI
Age:  54
Brooklyn, New York

E.D.N.Y. Docket No.: 24-CR-409 (NCM)

Earlier today, at the federal courthouse in Central Islip, Sherry Xue Li pleaded guilty to money laundering conspiracy and conspiracy to defraud the United States by obstructing the Federal Election Commission’s (FEC’s) administration of campaign finance laws.  Li orchestrated a nearly decade-long scheme to defraud investors in a fictitious development project out of more than $30 million.  As part of the scheme, Li and her co-defendant Lianbo Wang falsely promised those investors that their investments would guarantee them lawful permanent resident status in the United States.  Li and Wang also sold foreign investors access to U.S. politicians at fundraisers by collecting foreign-sourced funds from them and unlawfully contributing those funds to U.S. political campaigns and committees.  When sentenced, Li faces up to 20 years in prison.  As part of her plea agreement, Li agreed to forfeit $31.5 million, as well as property at three locations.  In 2024, Wang pleaded guilty to engaging in unlawful monetary transactions and conspiracy to defraud the United States, and was sentenced to 60 months’ imprisonment.  

Joseph Nocella, Jr., United States Attorney for the Eastern District of New York; Christopher G. Raia, Assistant Director in Charge, Federal Bureau of Investigation, New York Field Office (FBI); Ricky J. Patel,  Special Agent in Charge, Homeland Security Investigations, New York (HSI New York); and Harry T. Chavis, Jr., Special Agent in Charge, Internal Revenue Service Criminal Investigation, New York (IRS-CI New York) announced the guilty plea.

“Li defrauded more than 150 victims in the United States and abroad through years of lies and deception and sought to profit by selling access to the democratic process,” stated United States Attorney Nocella.  “In doing so, she attempted to corrupt a fundamental institution in this country—fair and transparent elections free from unlawful foreign influence.  Our Office is committed to investigating and prosecuting predatory fraudsters who steal victims’ hard-earned money.”

“Sherry Li admitted to her role in a long running fraud, profiting off of the exploitation of our nation's political and immigration system,” stated FBI Assistant Director in Charge Raia. “Li's corrupt scheme may have led to initial profits but ultimately will result in the loss of her freedom.  The FBI will continue to investigate and hold accountable any malicious actor attempting to manipulate the electoral or immigration process of the United States for personal gain.”

“Sherry Li’s guilty plea today demonstrates HSI New York’s commitment to dismantling transnational schemes that try to exploit our immigration and financial laws. Irrespective of the deceitful, and oftentimes creative methodologies that fraudsters pose to unwitting victims, we will ensure they do not take advantage of our laws that are made to protect individuals and entities from swindlers,” stated HSI New York Special Agent in Charge Patel.

“Li’s victims thought that they were investing in the American dream, but instead were left in a nightmare of fraud and deceit,” stated IRS-CI Special Agent in Charge Chavis.  “While she pocketed the money and traveled on lavish vacations, not one EB-5 or stock investor received what they were promised in return for their backing.  Now, with today’s plea, she will finally move forward in facing the consequences of her selfish acts,” said Harry T. Chavis, Jr., Special Agent in Charge of IRS-CI New York.”

The Scheme to Defraud Investors

Li and Wang defrauded investors in a fictitious development project in Sullivan County, New York called the Thompson Education Center (TEC) (the TEC Project) out of more than $30 million. Many of the victims were foreign nationals located in the People’s Republic of China (PRC) who were persuaded to invest in the project by the defendants’ false assurances that their $500,000 investments would guarantee them lawful permanent residence in the United States through the EB-5 investment visa program administered by the Department of Homeland Security, U.S. Citizenship and Immigration Services (USCIS).  The defendants falsely represented the progress they were making on the project and its support from government officials.  The defendants distributed promotional materials that contained photographs of Li with prominent U.S. politicians to falsely convey government support for the project.

Li and Wang siphoned off the money they fraudulently obtained from investors by transferring the funds through bank accounts held in the names of various companies that Li had created. Once the funds were in those accounts, Li and Wang used the funds to pay for personal expenses including clothing, jewelry, housing, vacation travel, upscale dining, and political contributions to prominent politicians.  The portion of the invested capital Li and Wang actually spent on the TEC Project was used merely to create and perpetuate the fiction that the TEC Project was a viable development project that was actually under construction.  For example, Li and Wang hired contractors, engineers, and other professionals to create architectural drawings and plans and perform minor work on or around the development site, which Li and Wang showed to potential investors to mislead them into believing the TEC Project had a realistic probability of completion and of delivering the returns on investment that the co-conspirators promised their investors.

Ultimately, more than 150 investors invested at least $31.5 million in the TEC Project, including approximately $16.5 million from EB-5 investors who were promised green cards in return for their investments, and approximately $15 million from stock investors who were promised that an initial public offering (IPO) would take place.  No EB-5 investor in the TEC Project ever received a temporary or permanent green card and the TEC Project did not have an IPO or list on any stock exchange.

Selling Access to U.S. Politicians

In furtherance of their scheme, Li and Wang also acted as “straw donors” for foreign nationals to unlawfully contribute to campaigns supporting U.S. politicians and political committees. Li and Wang promised foreign nationals access to U.S. political events and politicians in exchange for a fee. Li and Wang used the money they received from foreign nationals to fund political contributions, and falsely identified themselves and other U.S. citizens as the contributors of the funds, in violation of the Federal Election Campaign Act (FECA) and FEC regulations. In some cases, Li and Wang used TEC investors’ investment funds to make the political contributions which they used to gain access to the political events, where Li and Wang took photographs with elected officials.  Li and Wang would then use the photographs as a marketing tool in soliciting investments from foreign nationals in the TEC Project.   

For example, as alleged in the complaint, Li and Wang charged 12 foreign nationals $93,000 per person for admission to a June 28, 2017 fundraising event (the June 28, 2017 Fundraiser) with the then-President of the United States.  Li and Wang used the funds that they collected from the foreign nationals to unlawfully make $600,000 in political contributions in their own names—$270,500 from Li and $329,500 from Wang—to the joint fundraising committee hosting the June 28, 2017 Fundraiser.  At the time they made these contributions, they were the largest contributors to the joint fundraising committee, which was unaware of the charged schemes.  Li, Wang, and their foreign national guests attended the June 28, 2017 Fundraiser and took photographs with the then-President of the United States.  Li and Wang later used a photograph of Li and the President taken at the June 28, 2017 Fundraiser to solicit investments in the TEC Project.

The government’s case is being handled by the Office’s National Security and Cybercrime and Public Integrity Sections.  Assistant United States  Attorneys Andrew D. Reich and Meredith A. Arfa are in charge of the prosecution, with assistance from Paralegal Specialists Magdalena St. Surin and Rebecca Roth. Assistant United States Attorney Claire S. Kedeshian of the Office’s Asset Recovery Section is handling forfeiture matters.

The Defendant:

SHERRY XUE LI
Age: 53
Oyster Bay, New York

The Defendant Who Previously Pleaded Guilty:

LIANBO WANG 
Age: 48
Oyster Bay, New York

E.D.N.Y. Docket No. 22-CR-484 (GRB)

Today, in federal court in Brooklyn, Romeo Gonzalez was the 53rd and final defendant to be convicted in the prosecution of members and associates of the Bully Gang, a violent street gang based in the Bedford-Stuyvesant neighborhood of Brooklyn.  With Gonzalez’s conviction, all of the defendants charged in the case—across a series of Indictments and Criminal Informations—have been found guilty of their criminal conduct.  Forty-eight defendants, including Gonzalez, pleaded guilty, and five defendants were convicted in two separate trials before United States District Judge Brian M. Cogan.  The defendants were convicted of crimes including racketeering, murder, murder conspiracy, assault, gun trafficking, robbery, arson, extortion, using a gun during a crime of violence, drug trafficking, money laundering, and bribery. Gonzalez pleaded guilty today to conspiracy to possess cocaine and heroin with intent to distribute for his participation in the gang’s Maine drug trafficking conspiracy.  The proceeding was held before United States Magistrate Judge Cheryl L. Pollak.

Jospeh Nocella, Jr., United States Attorney for the Eastern District of New York, Bryan Miller, Special Agent in Charge, Bureau of Alcohol, Tobacco, Firearms and Explosives, New York Field Division (ATF New York), and Jessica S. Tisch, Commissioner, New York City Police Department (NYPD), announced the convictions.

“These prosecutions have decimated a violent gang that engaged in drug trafficking on a massive scale, shootings, murder, bribery of corrections officers, and other crimes from New York to Maine,” stated United States Attorney Nocella.  “The convictions of 53 Bully Gang members and associates were the result of a years’ long investigation and prosecution, and demonstrate our Office’s steadfast commitment to dismantling violent street gangs through our partnership with federal and local law enforcement.”   

“This conviction demonstrates the strength of our collaborative efforts to dismantle violent criminal organizations that threaten our communities. Through the use of Crime Gun Intelligence, the ATF/NYPD Joint Firearms Task Force and the Eastern District of N.Y. have remained committed to holding armed gang members accountable and to restoring peace in the communities they seek to harm,” stated ATF New York Special Agent in Charge Miller.

As proven during the two trials in this case and set forth in court documents, the Bully Gang was a violent criminal organization that ran several complex and long-running illegal drug trafficking schemes. These schemes included a multistate drug and money laundering conspiracy involving dozens of stash houses located in Maine, and a conspiracy to smuggle drugs into Rikers Island jail facilities (Rikers), including by bribing prison guards. The illicit money generated from these schemes was used to benefit the gang by enriching its members and funding its operations to commit more crimes. To advance the gang’s operations and reputation, and to retaliate against rivals, members and associates of the gang also committed numerous acts of violence, including shootings, arson, and murder, and purchased illegal firearms to protect the organization and its members.

Since 2020, 53 defendants have been charged with a variety of crimes in connection with this investigation and, with today’s guilty plea by Gonzalez, all have been convicted.  Gonzalez, who was charged in 2020, was a fugitive for nearly five years before he was apprehended in June 2025.  With the government’s consent, two defendants are participating in the Special Options Services program for juvenile and young adult offenders. 

Over a dozen defendants who were members and associates of the gang were convicted of racketeering.  These defendants included Derrick Ayers, Bermon Clarke, Franklin Gillespie, Moeleek Harrell, Demetrius Johnson, Latrell Johnson, and Anthony Kennedy.   Members and associates of the Bully Gang were convicted in connection with violent crimes, including:

• Ayers was convicted of murdering Jonathan Jackson, an associate of the rival “Stukes Crew.” Ayers shot Jackson multiple times at a gender reveal party for Harrell’s child on March 3, 2018, in Brooklyn.
• Gillespie was convicted of conspiring to murder Mike Hawley in Queens on April 15, 2020 to prevent him from informing authorities about the murder of Paul Hoilett in Brooklyn four days earlier.
• Ayers and Harrell were convicted of conspiring to murder the leaders of the Stukes Crew, whom they stalked by aggregating information from public databases, including the locations where their cars were ticketed.  That stalking led to the Bully Gang carrying out at least three shootings in Crown Heights in October 2017 and June 2018.
• Ayers and Harrell were convicted of conspiring to murder Christopher King and assaulting King.  They stalked King and ultimately shot him and an innocent bystander outside of a restaurant in Queens in October 2017.
• Gillespie was convicted of two gun-point robberies in Manhattan in August 2020.  Latrell Johnson was also convicted of committing one of those two robberies with Gillespie.
• Latrell Johnson was convicted of an armed extortion of a store owner in Bedford-Stuyvesant, which lasted for several months in 2020.  He was sentenced to more than 11 years’ imprisonment.
• Bermon Clarke was convicted of racketeering and arson. He set fire to one of the gang’s drug stash houses in Maine in 2017 while two people were inside.  He was sentenced to 35 years’ imprisonment.
• Demetrius Johnson was convicted of attempting to murder Michael Reid, whom he shot over a drug debt related to the gang’s drug dealing in Maine.

Over 40 defendants, including Gonzalez, were convicted in connection with the Bully Gang’s Maine drug trafficking scheme. Ayers, Clarke, Holt, Gillespie, Harrell, and Kennedy had leadership roles in the years-long scheme to transport large quantities of drugs, including cocaine base, heroin and fentanyl, from New York and New Jersey to Maine, where members and associates of the Bully Gang sold the drugs out of stash houses.  The narcotics were transported in vehicles equipped with concealed compartments, or “traps,” that were professionally installed.  In addition to selling drugs in Maine, the defendants bought numerous firearms in Maine and brought those weapons to New York to further the gang’s violence.  Participants in this gun trafficking scheme included Clarke, Janet Blood, Keon Grant, Nadine Heath, Amanda Huard, and Joanne Lydem.

Eleven defendants were convicted in connection with the gang’s scheme to smuggle drugs into Rikers Island.  The organizers of this scheme included Harrell, Nehemie Eril, Paul Harris, and Kennedy.  From 2019 to 2021, members and associates of the Bully Gang arranged for papers and comic books soaked in synthetic cannabinoids, also known as “K2,” to be delivered to Rikers.  Once inmates received the K2-soaked papers, they sold smaller quantities to other inmates at a substantial profit.  Some of the drug-soaked papers were mailed to inmates and some were smuggled inside the jail through visitors.  Harrell and Kennedy were also convicted of bribing prison guards to smuggle drugs into Rikers.

When sentenced, the defendants convicted of violent crimes face mandatory minimum prison terms ranging from 5 years to 55 years with a maximum of life imprisonment. 

The government’s case is being handled by the Office’s Organized Crime and Gangs Section.  Assistant United States Attorneys Nicholas J. Moscow, Lindsey R. Oken, Joy Lurinsky, Victor Zapana, and Michael J. Castiglione are in charge of the prosecution, with the assistance of Lead Legal Administrative Specialist Samantha Ward and Paralegal Specialist Paul Padilla.

The Defendants: JESSICA ALMEIDA
Age: 37
Detroit, Maine

KASSIN APPLING (also known as “Killa” and “Kassim”)
Age: 37
Brooklyn, New York

DERRICK AYERS (also known as “Dee” and “Mel”)
Age: 38
Rahway, New Jersey

TYRONE BANKS (also known as “Ty Hitta”)
Age: 28
Brooklyn, New York

JANET BLOOD
Age: 52
Troy, Maine

DAYVON BOSTICK-SAMUELS (also known as “Daytoe”)
Age:  27
Brooklyn, New York

TIRI BROWN
Age: 40
Brooklyn, New York

JOHNNY CHILES
Age: 40
Brooklyn, New York

BERMON CLARKE (also known as “G” and “Blue”)
Age: 33
Rahway, New Jersey

MIKE GUSTAVO CONNOR (also known as “Gus”)
Age:  26
Brooklyn, New York

RASHAAD CRAIG (also known as “Skeeno”)
Age:  29
Brooklyn, New York

RONALD DAVIS (also known as “Ronno”)
Age: 33
Brooklyn, New York

QUINTEN DELVALLE (also known as “Q”)
Age:  28
Brooklyn, New York

ELIZABETH DUECASTER
Age: 41
Searsport, Maine

BRITTANY DUNCAN
Age: 30
Bayonne, New Jersey

NEHEMIE ERIL (also known as “Poca”)
Age: 28
Orange, New Jersey

CHRISTINA ESTEVEZ
Age: 36
Queens, New York

LARON ESTRADA (also known as “Yetta”)
Age: 31
Brooklyn, New York

ERICA FAGGIOLE
Age: 48
Maine

COURTNEY FOSTER
Age: 30
Brooklyn, New York

ANTONIO FULTON (also known as “Tone”)
Age: 28
Brooklyn, New York

FRANKLIN GILLESPIE (also known as “Spazz” and “Frankie Gino”)
Age: 34
Newark, New Jersey

ROMEO GONZALES
Age:  27
Brooklyn, New York

AVERY GOODLUCK
Age: 35
Brooklyn, New York

NIA GOVAN (also known as “Cam” and “V”)
Age: 34
Boston, Massachusetts

KEON GRANT (also known as “Keys”)
Age: 39
Brooklyn, New York

MOELEEK HARRELL (also known as “Moe Money”)
Age: 35
Brooklyn, New York

PAUL HARRIS (also known as “Baldhead”)
Age: 36
Brooklyn, New York

NADINE HEATH
Age:  58
Troy, Maine

ROBERT HOLT (also known as “Ricky” and “Ghost”)
Age: 38
Brooklyn, New York

AMANDA HUARD
Age: 43
Raymond, Maine

DEMETRIUS JOHNSON
Age: 29
Brooklyn, New York

LATRELL JOHNSON (also known as “Barlie Buckz”)
Age: 30
Brooklyn, New York

ANTHONY KENNEDY (also known as “Biggie”)
Age: 39
Queens, New York

TYQUAWN LANE (also known as “Bicks” and “Tah Tah”)
Age: 32
Brooklyn, New York

JOANNE LYDEM
Age:  53
Garland, Maine

TANEJIA MOORE
Age: 30
Brooklyn, New York

DARIUS MURPHY
Age:  28
Brooklyn, New York

JESSICA PELKEY
Age: 31
Presque Isle, Maine

CHRISHAWN PENN (also known as “Prince”)
Age: 31
Brooklyn, New York

MICHAEL PEREZ (also known as “White Mike”)
Age: 34
Brooklyn, New York

JOELLE POCHE (also known as “Rico”)
Age: 25
Brooklyn, New York

TERRELL RATLIFF (also known as “Rello”)
Age: 34
Brooklyn, New York

MICHAEL REID (also known as “Half”)
Age:  44
Brooklyn, New York

ISAIAH TERRY SANDIFORD
Age: 25
Brooklyn, New York

JAMEL SMITH
Age: 28
Bronx, New York

AMY SONNENBLICK
Age: 53
Brooklyn, New York

CHINASA STRACHAN
Age:  37
Brooklyn, New York

NICOLETTE TOMPKINS
Age: 26
Westfield, Maine

AMANDA WALTON (also known as “A”)
Age: 36
Portland, Maine

DANIELLE WHITE
Age:  52
Swanville, Maine

DEVIN-JOHN JASON WILLIAMS (also known as “Pun” and “Fat Boy”)
Age: 32
Brooklyn, New York

DEMETTRIUS WRIGHT (also known as “Clean” and “Meexhi Brim”)
Age: 27
Brooklyn, New York

E.D.N.Y. Docket No. 20-CR-239 (S-8) (BMC)

Earlier today in federal court in Brooklyn, Domagoj Patkovic was sentenced by United States District Judge Ramon E. Reyes, Jr. to 60 months’ imprisonment for conspiring to make threats and conveying false information about explosives.  The defendant made hoax bomb threat phone calls to historically Jewish hospitals and care centers in New York City and on Long Island. 

Joseph Nocella, Jr., United States Attorney for the Eastern District of New York and Christopher G. Raia, Assistant Director in Charge, Federal Bureau of Investigation, New York Field Office (FBI), announced the sentencing.

“The defendant endangered patients and diverted precious law enforcement resources to advance his hateful agenda against people of the Jewish faith.  His actions fed a rising tide of antisemitism in America,” stated United States Attorney Nocella.  “Our Office will continue to prosecute dangerous bomb threats and swatting schemes to the fullest extent of the law, especially those motivated by hate, and those targeting vulnerable communities in hospitals and care centers.”

Mr. Nocella expressed his appreciation to the New York City Police Department and the Nassau County Police Department for their assistance on the case.

“Domagoj Patkovic will spend significant time in prison for his targeting of Jewish hospitals across the New York metro area with hoax bomb threats,” stated FBI Assistant Director in Charge Raia.  “These hoax threats, motivated by Patkovic’s insidious antisemitic views, wasted law enforcement resources and put innocent lives at risk.  The FBI will continue to bring to justice individuals who utilize swatting and false bomb threats to cause panic and unrest in our communities.”

As set forth in the indictment and in court filings, beginning at least as early as May 2021, the defendant and others made anonymous phone calls in which they made violent threats, including threats to detonate explosive devices, to Jewish hospitals and care centers within the Eastern District of New York, among other targets throughout the United States.

The defendant himself made threats in at least six separate calls to hospitals and also on a call with local law enforcement who had responded to a 911 call from one of the hospitals.  To amplify his hate-filled actions, the defendant livestreamed the calls to others on an online social media and electronic communications platform.  On several occasions, local police responded to the scene and conducted bomb sweeps.  On at least one occasion in September 2021, the hoax bomb threat resulted in a partial evacuation and lockdown of an entire hospital on Long Island.  No explosive devices were ultimately found in any of the locations.

The government’s case is being handled by the Office’s National Security and Cybercrime Section.  Assistant United States  Attorneys Alexander A. Solomon, Laura Zuckerwise, and Andrew D. Reich are in charge of the prosecution, with assistance from Trial Attorney James Donnelly of the National Security Division’s Counterterrorism Section and Paralegal Specialist Wayne Colon. 

The Defendant:

DOMAGOJ PATKOVIC 
Age: 31
Portland, Oregon

E.D.N.Y. Docket No. 24-CR-317 (RER)

BROOKLYN, NY – José Adolfo Macías Villamar, also known as “Fito,” a citizen of Ecuador, will be arraigned today at the federal courthouse in Brooklyn for crimes committed as the leader of Los Choneros, a transnational criminal organization based in Ecuador that is responsible for significant drug trafficking into the United States, firearms trafficking from the United States, and acts of extreme violence.  Macías Villamar will be arraigned on a seven-count superseding indictment charging him with international cocaine distribution conspiracy; international cocaine distribution; using firearms in furtherance of drug trafficking; smuggling firearms from the United States; and straw purchasing of firearms conspiracy.  Macías Villamar will be arraigned before United States Chief Magistrate Judge Vera M. Scanlon after being extradited yesterday from Ecuador to the Eastern District of New York.

Joseph Nocella, Jr., United States Attorney for the Eastern District of New York; Robert Murphy, Acting Administrator of the U.S. Drug Enforcement Administration (DEA); L.C. Cheeks, Jr., Special Agent in Charge, Bureau of Alcohol, Tobacco, Firearms and Explosives, Newark Field Division (ATF); and Jonathan Carson, Special Agent in Charge, U.S. Department of Commerce, Office of Export Enforcement, New York Field Office (OEE), announced the extradition and arraignment.

“As alleged, the defendant served for years as the principal leader of Los Choneros, a notoriously violent transnational criminal organization, and was a ruthless and infamous drug and firearms trafficker.  The defendant and his co-conspirators flooded the United States and other countries with drugs and used extreme measures of violence in their quest for power and control,” stated United States Attorney Nocella.  “This case demonstrates our Office’s commitment to identifying and targeting the leadership of such organizations, wherever they may be located, and bringing them to face justice here in the United States.”

“José ‘Fito’ Macias thought he could traffic poison into our country, smuggle American weapons back to his killers, and further his criminal enterprise using chaos and bloodshed. He was wrong,” stated DEA Acting Administrator Robert Murphy.  “Today, the kingpin of Los Choneros faces justice on U.S. soil for his crimes.”

“ATF remains dedicated to working with our local, state, and federal partners to disrupt the shooting cycle by focusing on those individuals and criminal organizations responsible for the gun violence that plagues our neighborhoods,” stated ATF Special Agent in Charge Cheeks.  “ATF will continue to collaborate with our law enforcement partners to address violent gang and drug-related activity that endangers the safety of our communities.  Our joint efforts are essential in bringing accountability to violent offenders, combatting threats to the public, and reducing violent crime.”

As alleged in the indictment and other public filings, from at least 2020 to 2025, Macías Villamar was the principal leader of Los Choneros, the most violent and powerful transnational criminal organization in Ecuador.  As the principal leader of Los Choneros, Macías Villamar employed members of the organization to carry out serious acts of violence on the organization’s behalf. At Macías Villamar’s direction, Los Choneros committed violent acts toward Ecuadorean law enforcement, Ecuadorian politicians, attorneys, prosecutors, and civilians.  Los Choneros obtained many of its firearms and weapons by illegally trafficking and exporting them from the United States to Ecuador.  As alleged, the defendant specifically employed individuals who purchased firearms, firearms components, and ammunition in the United States and then illegally smuggled them to Ecuador for use by Los Choneros.

In 2011, Macías Villamar went to prison in Ecuador on murder, robbery, weapons possession, and drug trafficking charges.  He escaped in 2013 before being recaptured months later.  During his second imprisonment in Ecuador, Macías Villamar used contraband cell phones and the internet to continue to direct the activities of Los Choneros and publish external communications and threats on Los Choneros’ behalf.  In January 2024, he escaped from Ecuadorian prison a second time—just two days ahead of his planned move to a maximum-security facility. In response to his escape, Ecuador erupted in violence—including prison riots, gang attacks, kidnappings, and bombings—and the government of Ecuador declared a state of emergency.  Ecuadorian authorities recaptured Macías Villamar on June 25, 2025, and he was extradited from Ecuador yesterday.

Macías Villamar and members and associates of his organization used firearms in furtherance of their weapon and drug trafficking activities, including machine guns, AK-47 assault rifles, and grenades.  Macías Villamar and the Los Choneros organization have also been sanctioned by the U.S. Department of the Treasury’s Office of Foreign Assets Control (OFAC).

The Justice Department’s Office of International Affairs and Ecuadorian authorities provided substantial assistance to secure the extradition of Macías Villamar.  This marks Ecuador’s first extradition of an Ecuadorian national since an April 2024 popular referendum amended Ecuador’s constitution to allow for the extradition of Ecuadorian nationals.

This case is part of Operation Take Back America, a nationwide initiative that marshals the full resources of the Department of Justice to achieve the total elimination of cartels and transnational criminal organizations (TCOs) and protect our communities from the perpetrators of violent crime.

The charges in the superseding indictment are allegations, and the defendant is presumed innocent unless and until proven guilty.  If convicted, the defendant faces a mandatory minimum sentence of 20 years in prison and up to life.

The government’s case is being handled by the Office’s International Narcotics and Money Laundering Section, and as part of the work of the Office’s Transnational Criminal Organizations Strike Force.  Assistant United States Attorneys Chand Edwards-Balfour, Lorena Michelen, and David Berman are in charge of the prosecution.

The Defendant:

JOSÉ ADOLFO MACÍAS VILLAMAR (also known as “Fito”)
Age:  45
Ecuador

E.D.N.Y. Docket No.: 25-CR-114 (FB)

Earlier today, at the federal courthouse in Brooklyn, a complaint was unsealed charging Jakhi McCray with arson for setting 10 New York City Police Department vehicles and a trailer on fire in a locked parking lot.  McCray was arrested today and will make his initial appearance this afternoon before United States Magistrate Judge Vera M. Scanlon.

Joseph Nocella, Jr., United States Attorney for the Eastern District of New York; Bryan Miller, Special Agent in Charge, Bureau of Alcohol, Tobacco, Firearms, and Explosives, New York Division (ATF); Jessica S. Tisch, Commissioner, New York City Police Department (NYPD); and Robert S. Tucker, Commissioner, New York Fire Department (FDNY) announced the arrest.

“This destructive act of arson was deliberate, dangerous, and deeply disruptive,” said United States Attorney Nocella.  “Setting police vehicles ablaze is not a form of protest—it is a federal crime.  Our Office will not tolerate violence or destruction that undermines law enforcement efforts to ensure public safety and will prosecute this individual to the fullest extent of the law.”

Mr. Nocella also expressed his thanks to the ATF-NYPD Arson & Explosives Task Force, the FDNY Marshalls, and the United States Marshalls Services NY/NJ Regional Fugitive Task Force for their valuable contribution to the case.

“Intentionally setting fire to police vehicles is a dangerous criminal act and a direct threat to public safety. The ATF Arson and Explosives Task Force — which includes ATF, the NYPD, and FDNY — is fully committed to identifying and bringing to justice anyone responsible for these dangerous and unlawful acts. This arrest demonstrates our shared resolve and unified approach to protecting our communities.  We are grateful to the U.S. Attorney’s Office for the Eastern District of New York, U.S. Marshals Service NY/NJ Regional Fugitive Task Force, the NYPD and the FDNY for their continued partnership in pursuing justice,” stated ATF Special Agent in Charge Miller.

“The arson attack against New York City Police Department vehicles in Bushwick, Brooklyn was as cowardly as it was criminal,” stated NYPD Commissioner Tisch. “The defendant in this case may have wanted to send a message – but all he did was mobilize the full force of the NYPD, the ATF, and the FDNY to identify, locate, and arrest him.  Now, through the work of the U.S. Attorney for the Eastern District of New York, he will face much-deserved justice.  Thank you to all the NYPD detectives, as well as our law enforcement partners, who closed this case.”

“Burning a police vehicle is an intolerable crime that could have killed a police officer,” stated FDNY Commissioner Tucker.  “We are grateful to our FDNY Fire Marshals for their role in investigating this crime, and our partners in law enforcement for their assistance in identifying the suspect.  Arson is a serious crime that must be punished.”

According to the complaint, at 12:52 a.m. on June 12, 2025, McCray was recorded on surveillance video scaling a fence into a secure private lot for reserve NYPD vehicles assigned to precincts in northern Brooklyn.  The lot contained numerous NYPD vehicles and was located on DeKalb Avenue between Wilson Avenue and Central Avenue in the Bushwick section of Brooklyn.  McCray remained in the lot for approximately 32 minutes, during which he lit 10 NYPD vehicles and one trailer on fire.

At approximately 1:24 a.m., an NYPD officer arrived to inspect the lot.  As he approached, the officer saw the fire and observed McCray attempting to escape by scaling a fence, then fleeing through an existing hole in the fence.  Subsequently, NYPD personnel recovered at the scene a cigar lighter torch and a pair of sunglasses.  They also discovered 22 retail fire starters and 10 BBQ dragon egg fire starters that were placed under three undamaged vehicles.  It was later determined that the sunglasses had McCray’s fingerprints on them.  The vehicles were ignited two days before protests were scheduled to be held over the June 14-15, 2025 weekend.  The NYPD has estimated that the total replacement cost of for the damaged vehicles is over $800,000.

The charge in the complaint is an allegation, and McCray is presumed innocent unless and until proven guilty.  If convicted, McCray faces a mandatory minimum sentence of five years’ imprisonment and a maximum of 20 years in prison.

The government’s case is being handled by the Office’s General Crimes Section.  Assistant United States Attorney Rebecca M. Urquiola is in charge of the prosecution.

The Defendant:

JAKHI MCCRAY
Age: 21
Brooklyn, New York

E.D.N.Y. Docket No. 25-MJ-238

Earlier today, in federal court in Brooklyn, Dimitriy Nezhinskiy pleaded guilty to conspiring to receive stolen property that had been transported in interstate commerce. The proceeding was held before United States District Judge William F. Kuntz.  When sentenced, Nezhinskiy faces a maximum sentence of five years’ imprisonment as well as restitution of approximately $2,500,000, and forfeiture of more than $2,500,000.

Joseph Nocella, Jr., United States Attorney for the Eastern District of New York; Christopher G. Raia, Assistant Director in Charge, Federal Bureau of Investigation, New York Field Office (FBI); Jessica S. Tisch, Commissioner, New York City Police Department (NYPD); and Patrick J. Ryder, Commissioner, Nassau County Police Department (NCPD) announced the guilty plea.

“The defendant’s criminal conduct, purchasing items stolen from homes and businesses nationwide, provided a vital market for South American Theft Groups and other criminals to sell the proceeds of their crimes,” stated United States Attorney Nocella.  “Our Office and our law enforcement partners are dedicated to ensuring that those who facilitate the victimization of people and businesses are brought to justice.”

“For more than five years, Dimitriy Nezhinskiy established a demand for stolen merchandise, which allowed South American Theft Groups to profit from repeated burglaries,” stated FBI Assistant Director in Charge Raia.  “His purchases perpetuated a ripple of criminality targeting residences and business across the country.  The FBI will never tolerate any individual who provides economic support to other criminal actors to continue their illicit operations in our city.”

“This defendant ran a black-market pipeline, buying stolen luxury goods from organized theft crews that targeted homes and businesses,” said NYPD Commissioner Tisch.  “It was a deliberate operation that helped professional burglars prey on innocent people.  Today's guilty plea sends a clear message: If you profit off stolen property, we will find you and dismantle your operation. I want to thank our detectives and federal partners for their work on this case.”

“Thanks to the hard work of our Detective Division, working closely with our local and federal partners, the residents of Nassau County can rest easy that we have shut down another criminal group that set out to victimize innocent people,” stated Nassau County Police Commissioner Ryder.  “Let this be a message to the South American Theft Groups and anyone who chooses to work with them: our detectives will find you and bring you to justice if you prey on the good people of our County.”

According to court filings and statements the defendant made at today’s guilty plea, between approximately 2020 and 2025, the defendant conspired with his co-defendant, Juan Villar, and others, to receive and purchase stolen property, including jewelry, watches, handbags, and assorted luxury items that had been stolen outside of the state of New York and transported into New York.  Nezhinskiy and Villar regularly served as “fences” for South American Theft Groups, burglary crews based out of South America, who traveled around the United States committing burglaries, typically targeting wealthier neighborhoods or jewelry vendors, and stealing luxury accessories like watches, jewelry, and handbags.  Nezhinskiy and Villar’s operation, which consisted of purchasing stolen property from these crews for cash, provided an essential market for the stolen goods, perpetuating the dangerous criminal activities of the burglary and theft crews composed largely of foreign nationals.

As detailed in court filings and the guilty plea, evidence linked Nezhinskiy and Villar to thefts around the country, including at least two dozen residential or commercial burglaries across the United States between 2019 and 2025.  Additionally, between October 2022 and January 2024, an undercover detective conducted seven controlled sales of purported stolen property, including high-end handbags and luxury accessories, to Nezhinskiy or Villar, or both, at their business location on 47th Street in Manhattan’s Diamond District.  During these controlled sales, the undercover detective provided the defendants with items that the undercover told the defendants had been stolen, and received cash in exchange for the stolen goods.

Simultaneous with the defendant’s arrest in February 2025, law enforcement executed a search warrant at the location in the Diamond District where Nezhinskiy and Villar operated a pawn shop and seized large quantities of suspected stolen property, including dozens of high-end watches and jewelry.  Law enforcement also recovered large quantities of cash and marijuana.  A search warrant was also executed at storage units belonging to Nezhinskiy in New Jersey where an additional cache of suspected stolen property was found.  From inside Nezhinskiy’s storage units, law enforcement recovered large quantities of luxury goods and clothing, including high-end handbags, wine, sports memorabilia, jewelry, artwork, and power tools consistent with those commonly used in burglaries and opening safes.

On June 16, 2025, Villar pled guilty to conspiring to receive stolen property that had been transported in interstate commerce and is pending sentencing.

The government’s case is being handled by the Criminal Section of the Office’s Long Island Division and the Office’s General Crimes Section.  Assistant United States Attorneys Michael R. Maffei, Katherine P. Onyshko, and Sean M. Sherman are in charge of the prosecution.

The Defendants:

DIMITRIY NEZHINSKIY
Age:  43
North Bergen, New Jersey

JUAN VILLAR
Age:  48
Queens, New York

E.D.N.Y. Docket No. 25-CR-40 (WFK)

Earlier today, in federal court in Brooklyn, Christopher Terranova, a former New York City Police Department (NYPD) officer, was sentenced by United States District Judge Kiyo A. Matsumoto to 40 years’ imprisonment for sexually exploiting, attempting to sexually exploit, and enticing and coercing three 15-year-old boys and a 12-year-old boy.  Terranova was employed as a police officer with the NYPD at the time of the charged conduct.  A federal jury convicted Terranova of the charges in November 2024.

Joseph Nocella, Jr., United States Attorney for the Eastern District of New York and Christopher G. Raia, Assistant Director in Charge, Federal Bureau of Investigation, New York Field Office (FBI) announced the sentence.

“The significant sentence the court imposed is a just outcome for the defendant’s abuse of his position as a police officer to groom and manipulate young boys, gain their trust, then sexually abuse and exploit them,” stated United States Attorney Nocella.  “The victims showed courage in coming forward to expose this predator, and the sentence imposed ensures that no other child will be harmed by the defendant while he spends decades in prison.”

Mr. Nocella expressed his appreciation to the NYPD’s Internal Affairs Bureau for their assistance during the investigation.

“Christopher Terranova, a former NYPD officer, targeted, and sexually exploited multiple minors, including some who were also victims in unrelated crimes,” stated FBI Assistant Director in Charge Raia.  “Terranova’s unthinkable actions violated his sworn duty to protect this community and reflect an egregious abuse of authority to satisfy his twisted desires.  May today’s sentencing reflect the FBI’s commitment to disrupting any sexual predator from further victimizing our city’s most vulnerable victims.”

Between approximately December 2019 and May 2023, Terranova used social media to engage in sexually explicit conversations with underage boys and attempt to entice them into taking sexually explicit photographs of themselves and sharing them with Terranova.  Terranova used popular social media applications to message and gain the trust of underage boys whom he encountered socially, online, or through his job as a police officer.

For example, between March 2023 and May 2023, Terranova targeted a 15-year-old boy he encountered at the 121st Precinct on Staten Island who was there to report that he had been robbed. Terranova obtained the victim’s cellphone number from the robbery complaint in an NYPD database and messaged him: “Hey… it’s Chris Terranova the cop you met at the 121 that day with mom, i just wanted to reach out to see if you were doing ok after the incident, I hate seeing these things happen to good Guys like yourself.”  In subsequent messages, Terranova inquired about the investigation, referred to his role as a police officer, and asked the victim if he had any interest in the police department or its youth programs. Terranova also suggested, “If [sic] here too if you ever want to talk[.] I been through a lot myself over the years so just know that little bro.”  Terranova then asked the victim to add him on “snap” or “the gram,” referring to Snapchat and Instagram.  On Snapchat, Terranova began asking the victim sexually explicit questions, sent the victim a photograph of Terranova’s genitals, and asked for a sexually explicit photograph of the victim.  The victim informed his mother about the inappropriate messages and she reported the matter to police.

Terranova also engaged in hands-on sex acts with two of his minor victims.  One of those victims was the 15-year-old son of an acquaintance of Terranova.  While giving that victim a ride home from a birthday party, Terranova brought the victim to a secluded location where he directed the victim to engage in sex acts with him.

Terranova met a third 15-year-old victim, who lived in Texas, on social media.   Terranova used his status as a police officer to gain the victim’s trust.  Terranova traveled to Texas at least 16 times to visit the victim, engaged in sexual acts with him and purchased a house in the victim’s neighborhood.  In one message, Terranova stated: “You being with me. . . and making love to me is more than a sign of everything happens for a reason.”   

Terranova also met a 12-year-old victim locally while Terranova was on-duty and in uniform.  Terranova messaged the victim on Snapchat and began asking him sexually explicit questions and solicited sexually explicit photos.

This prosecution is part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse.  Led by United States Attorneys’ Offices, Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend, and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims.  For more information about Project Safe Childhood, please visit https://www.justice.gov/psc.

The government’s case is being handled by Office’s Human Trafficking and Civil Rights Section.  Assistant United States  Attorneys Rachel A. Bennek and Lauren A. Bowman are in charge of the prosecution, with the assistance of Paralegal Specialist Chelsea Guzman.

The Defendant:

CHRISTOPHER TERRANOVA
Age: 35
Staten Island, New York

E.D.N.Y. Docket No. 23-CR-516 (KAM)

Earlier today, in a federal court in Brooklyn, an 11-count superseding indictment was unsealed charging four Euro 380 gang members, Kashawn Mason, also known as “Jojo” and “Jojo Euro,” Daniel Horton, also known as “DayDay” and “DayDay Tz,” Ryan Nieves, also known as “Rocket” and “TooSturdy,” and Dylan Stanley, also known as “Brady,” with racketeering, firearm-related murder, multiple armed robberies, and assaults in-aid-of racketeering.  Mason and Stanley are also charged with distribution and possession with intent to distribute fentanyl.  Mason and Stanley were taken into custody today and will be arraigned this afternoon before United States Magistrate Judge James R. Cho.  Horton and Nieves are presently in federal custody and will be arraigned at a later date.     

Joseph Nocella, Jr., United States Attorney for the Eastern District of New York;   Christopher G. Raia, Assistant Director in Charge, Federal Bureau of Investigation, New York Field Office (FBI); Jessica S. Tisch, Commissioner, New York City Police Department (NYPD); Eric Gonzalez, Brooklyn District Attorney; and Anne T. Donnelly, Nassau County District Attorney announced the superseding indictment.

“As alleged in the superseding indictment, the defendants carried out a litany of violent crimes, including a senseless murder in furtherance of their gang, putting the Bedford Stuyvesant community at extreme risk of harm and turning housing developments into war zones,” stated United States Attorney Nocella.  “Today’s superseding indictment speaks loudly about the commitment of our Office to reducing gun violence, making our communities safe for law abiding residents who have been living in fear of violent gangs and bringing gang members to justice.  I commend our prosecutors and federal and state law enforcement partners for their tireless work dismantling gangs operating in Brooklyn and throughout the Eastern District.”

Mr. Nocella also thanked the Nassau County Police Department and the New York State Department of Corrections for their valuable assistance.

“To enhance their gang’s status and intimidate rivals, these four defendants allegedly participated in a myriad of criminal activity, including a retaliatory murder,” stated FBI Assistant Director in Charge Raia.  “Their alleged actions allowed tensions to violently erupt in a residential community and submitted bystanders to a senseless territorial gunfight.  Alongside our law enforcement partners, the FBI maintains its steadfast determination to disrupt any gangs’ reign of terror in our neighborhoods.  This operation is part of Summer Heat, the FBI’s nationwide initiative targeting violent crime during the summer months.”

“The defendants in this case allegedly treated our Brooklyn neighborhoods like a warzone, firing 34 rounds in broad daylight, killing one person and injuring others, all to settle a gang score,” stated NYPD Commissioner Tisch.  “They robbed businesses, pushed fentanyl, and recruited teenagers to carry out violence.  Today’s indictment makes clear that we will not let violent gangs turn our communities into battlegrounds.  I want to thank our investigators and law enforcement partners for their relentless work to bring these defendants to justice.”

“This was brazen, targeted violence that put entire communities at risk as these defendants allegedly opened fire near homes and businesses and robbed residents at gunpoint,” stated Brooklyn District Attorney Gonzalez.  “Brooklyn saw record-low gun violence last year, and we are committed to holding accountable anyone who imperils our progress improving the safety of our neighborhoods.  This indictment reflects the results of a strong collaboration between my Office, the NYPD, and federal law enforcement.  I commend U.S. Attorney Nocella, his team, and all of our partners for their outstanding work."

“Gun violence and gang-related crime know no borders, which is why strong law enforcement partnerships are crucial in the fight against them,” stated Nassau County District Attorney Donnelly.  “My office is proud to have assisted the U.S. Attorney’s Office, our local partners in New York City, and the FBI, in charging these defendants for their alleged crimes.  By working together across jurisdictions, we are sending a message that anyone who perpetrates violence in our communities will be met with justice.”

As alleged in the superseding indictment and other court filings, Euro 380 gang is a violent street gang operating out of the Marcy Houses, a New York City Housing Authority (NYCHA) development in Bedford-Stuyvesant, Brooklyn.  Euro 380 is a subset of the Untouchable Gorilla Stone Nation (UGSN), a parent gang with members located in Brooklyn and elsewhere.  Members of Euro 380 have a longstanding rivalry with another gang known as the Bloodhound Brims and, more specifically, a subset of the Bloodhound Brims known as “900,” which also operates out of Bedford-Stuyvesant in the Tompkins and Sumner Houses, also NYCHA developments located less than two blocks from the Marcy Houses.

On September 30, 2023, Nieves, Stanley and two juveniles walked from the Marcy Houses to the Sumner Houses intending to shoot and kill rival 900 gang members after one of their fellow Euro 380 members was murdered three days earlier.  After arriving at the Sumner Houses, Nieves and Stanley unleashed a fusillade of 34 rounds at a group of individuals they believed to be 900 gang members.  Kyle Forde was killed and two other individuals suffered non-fatal gunshot wounds.  The fatal shooting was allegedly ordered by Mason and another high-ranking Euro 380 member.

Additionally, in September 2023 and November 2023, the defendants carried out three robberies in Brooklyn of individuals, a smoke shop, and a bodega during which they displayed firearms or what appeared to be a firearm.

The charges in the superseding indictment are allegations, and the defendants are presumed to be innocent unless and until proven guilty.  If convicted, defendants Mason, Nieves, and Stanley face a maximum of life in prison.  Horton faces a maximum of 20 years’ imprisonment. 

The government’s case is being handled by the Office’s Organized Crime and Gangs Section.  Assistant United States Attorneys Andy Palacio, Raffaela S. Belizaire, and Megan Larkin are in charge of the prosecution.

The Defendants

KASHAWN MASON (also known as “Jojo” and “Jojo Euro”)
Age:  22
Brooklyn, New York   

DANIEL HORTON (also known as “DayDay” and “DayDay Tz”)
Age:  23
Brooklyn, New York   

RYAN NIEVES (also known as “Rocket” and “TooSturdy”)
Age:  20
Brooklyn, New York

DYLAN STANLEY (also known as “Brady”)
Age:  22
Brooklyn, New York   

E.D.N.Y. Docket No. 24-CR-261 (ENV)

Earlier today, in federal court in Central Islip, Kevin Cuevas Del Cid, also known as “Creeper,” “Malcriado,” “Sombra,” “Vinky,” and “Dabura,” a member of the Sailors Locos Salvatruchas Westside (Sailors) clique of La Mara Salvatrucha, also known as the MS-13, a transnational criminal organization, pleaded guilty to racketeering charges in connection with his participation in the May 21, 2016 murder of Kerin Pineda and the October 10, 2016 murder of Javier Castillo, both of whom were killed in Freeport, New York, as well as a conspiracy to distribute cocaine and marijuana.  The proceeding was held before United States District Judge Joan M. Azrack.  

Joseph Nocella, Jr., United States Attorney for the Eastern District of New York; Christopher G. Raia, Assistant Director in Charge, Federal Bureau of Investigation, New York Field Office (FBI); and Patrick J. Ryder, Commissioner, Nassau County Police Department (NCPD), announced the guilty plea.

“Today, the defendant pleaded guilty to the brutal killings of two young people, whose murders demonstrate the MS-13’s well-established obsession with committing extreme acts of violence and complete disregard for human life,” stated U.S. Attorney Nocella.  “Our Office and our law enforcement partners remain steadfast in our commitment to hold violent gang members accountable for the fear, destruction, and death they bring to our communities.”

“Kevin Cuevas Del Cid, an MS-13 member, slaughtered two victims based on their assumed alliance with a rival gang. Del Cid’s attacks reflect the gang’s brutal rhetoric designed to intimidate and punish any perceived threat to its organization,” stated FBI Assistant Director in Charge Raia.  “The FBI remains committed to collaborating with our local law enforcement partners to eradicate this senseless gang violence from continuing to terrorize our communities.”

“We are grateful to our federal partners for working together to take these dangerous criminals off our streets,” stated NCPD Commissioner Ryder.  “We have no tolerance for gang violence in Nassau County and we will never stop working to protect our citizens from these violent elements.”

According to court filings and statements by the defendant at the guilty plea proceeding, the defendant participated in the murder of 20-year-old Kerin Pineda, who was killed because of his suspected membership in the 18th Street gang.  Specifically, in May 2016, Del Cid and other MS-13 members devised a plan where Del Cid created a fake Facebook profile of a young female to communicate with Pineda in order to lure Pineda out to be killed. On May 21, 2016,  Pineda went to a secluded wooded area near the Merrick-Freeport border believing that he was meeting the young female he had been communicating with on Facebook, who was, in fact, Del Cid.  When Pineda arrived, he was surrounded and violently attacked by Del Cid and the other MS-13 members, each of whom took turns hacking and slashing him with machetes.  Pineda’s body was then buried in a hole that had been dug in the ground the day before in anticipation of the murder.  Del Cid is the last of six previously charged MS-13 members to plead guilty to the Pineda murder.

Del Cid also pleaded guilty to the murder of 15-year-old Javier Castillo, who, like Pineda, was killed because the MS-13 suspected him of being a member of the 18th Street gang.  On October 10, 2016, members of the Sailors clique in Brentwood convinced Castillo, who lived in Central Islip, to go with them to Freeport – approximately 30 miles away – to smoke marijuana.  Del Cid and the other MS-13 members took Castillo to an isolated marsh area along the water in Cow Meadow Park, in Freeport, where they attacked and killed him, taking turns hacking him with a machete.  Thereafter, the MS-13 members dug a hole and buried Castillo’s body, which was not recovered until one year later, in October 2017.  With Del Cid’s conviction, more than a half dozen MS-13 have been charged and pleaded guilty in connection with the Castillo murder.

Del Cid, who was 16 years old at the time of the Pineda and Castillo murders, initially was charged by a juvenile information filed under seal on May 20, 2020. The government subsequently filed a motion to transfer Del Cid to adult status for prosecution, and an evidentiary hearing was held on June 3, 2022.  On July 6, 2022, United States Circuit Judge Joseph F. Bianco, sitting by designation, issued a Memorandum and Order granting the government’s motion, and ordering Del Cid be prosecuted as an adult.

Today’s guilty plea is the latest achievement in a series of federal prosecutions by the United States Attorney’s Office for the Eastern District of New York targeting members of the MS-13, a violent transnational criminal organization.  The MS-13’s leadership is based in El Salvador, Honduras, Guatemala, and Mexico, but the gang has thousands of members across the United States.  With numerous branches, or “cliques,” the MS-13 is the most violent criminal organization on Long Island.  Since 2003, hundreds of MS-13 members, including dozens of clique leaders, have been convicted on federal felony charges in the Eastern District of New York. A majority of those MS-13 members have been convicted on federal racketeering charges for participating in murders, attempted murders, and assaults.  Since 2010, this Office has obtained indictments charging MS-13 members with carrying out more than 75 murders in the Eastern District of New York, resulting in the convictions of dozens of MS-13 leaders and members in connection with those murders.  These prosecutions are the product of investigations led by the FBI’s Long Island Gang Task Force, which is comprised of agents and officers of the FBI, NCPD, Suffolk County Police Department, Nassau County Sheriff’s Department, Suffolk County Probation Office, Suffolk County Sheriff’s Office, the New York State Police, the Hempstead Police Department, the Rockville Centre Police Department, and the New York State Department of Corrections and Community Supervision.

The case is part of Operation Take Back America, a Department of Justice initiative aimed at eradicating transnational criminal organizations, combating violent crime, and restoring the rule of law.

This prosecution is also part of an Organized Crime Drug Enforcement Task Forces (OCDETF) investigation.  OCDETF identifies, disrupts, and dismantles the highest-level drug traffickers, money launderers, gangs, and transnational criminal organizations that threaten the United States by using a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks.

The government’s case is being handled by the Criminal Section of the Office’s Long Island Division.  Assistant United States Attorneys Paul G. Scotti, Justina L. Geraci, and Megan E. Farrell are in charge of the prosecution, with the assistance of Paralegal Specialist Kerry Ucci and Automated Litigation Specialist Michael Compitello.

The Defendant:

KEVIN CUEVAS DEL CID (also known as “Creeper,” “Malcriado,” “Sombra,” “Vinky,” and “Dabura”)
Age: 25
Freeport, New York

E.D.N.Y. Docket No. 20-CR-251 (S-1) (JMA)

Earlier today in federal court in Brooklyn, former federal correctional officer Najee Jackson pleaded guilty to attempted provision of contraband in prison.  In January 2025, while working as a correctional officer at the Metropolitan Detention Center in Brooklyn (MDC-Brooklyn), the defendant attempted to smuggle vacuum-sealed bags of marijuana and cigarettes into the facility inside his Bureau of Prisons-issued protective vest.  The proceeding was held before United States District Judge Orelia E. Merchant.  When sentenced, Jackson faces up to five years in prison.

Joseph Nocella, Jr., United States Attorney for the Eastern District of New York, and Ryan T. Geach, Special Agent in Charge, Department of Justice, Office of the Inspector General (DOJ-OIG), announced the guilty plea.

“The defendant admitted to bringing contraband into the very jail he was charged with protecting,” stated United States Attorney Nocella.  “His actions undermined the safety and security of his fellow correctional officers and the inmates at MDC-Brooklyn.  As today’s conviction demonstrates, my Office will ensure that anyone who would abuse their position of trust at a federal prison is brought to justice.”

“The Office of the Inspector General remains committed to rooting out corruption within our federal prisons,” stated DOJ OIG Special Agent in Charge Geach.  “Today’s guilty plea demonstrates that those who betray the trust and jeopardize the safety of their fellow correctional officers and citizens will face consequences for doing so.”

As set forth in court filings and on the record at today’s plea proceeding, Jackson became a correctional officer at MDC-Brooklyn in November 2023.  On January 21, 2025, Jackson arrived at the jail around 12:15 a.m. to begin working a night shift.  As with all staff members at MDC-Brooklyn, Jackson was required to pass through a metal detector and place his belongings on a conveyor belt that passes through an x-ray machine.  Jackson made several failed attempts to clear the metal detector and eventually removed his Bureau of Prisons-issued protective vest, which was found to contain vacuum‑sealed bags of marijuana and cigarettes.  Two days later, Jackson resigned from the Bureau of Prisons.

The government’s case is being handled by the Office’s Public Integrity Section. Assistant United States  Attorney Russell Noble is in charge of the prosecution.

The Defendant:

NAJEE JACKSON
Age:  32
Brooklyn, New York

E.D.N.Y. Docket No. 25-CR-67 (OEM)

Today, United States Attorney Joseph Nocella, Jr. announced his selection of Michael G. Considine to serve as First Assistant United States Attorney (FAUSA) for the Eastern District of New York.  Mr. Considine was sworn in today and will oversee the Criminal, Civil, Appeals, and Administrative Divisions of the United States Attorney’s Office.

“I am pleased to welcome Mike back to the Eastern District of New York as First Assistant U.S. Attorney.  We have known each other for over 30 years since working together as federal prosecutors in this Office.  Mike is not only an outstanding lawyer who brings a wealth of knowledge and experience to the Office, but he also possesses impeccable judgment and the utmost integrity,” stated United States Attorney Nocella.

Mr. Considine served as an Assistant U.S. Attorney in the Eastern District of New York from 1988 to 1994 when he was appointed to the position of Deputy Chief of the Long Island Offices in Garden City and Hauppauge, serving under then Long Island Chief Loretta Lynch.  During his tenure, Mr. Considine supervised numerous complex and difficult criminal investigations and trials and specialized in organized crime prosecutions as well, serving as lead counsel in various trials and appeals, including those involving the Colombo and Gambino crime families.

Prior to his return, Mr. Considine was a litigation partner at the law firm Seward and Kissel LLP where he represented corporations, municipalities, and individuals in regulatory probes and parallel civil litigations and co-managed the firm’s Litigation Department and Government Investigations Practice Group.  He was also appointed as independent monitor by the Securities and Exchange Commission for a leading global alternative investment firm, and by the DOJ and EPA as federal monitor for a midwestern utility pursuant to an administrative agreement.

After leaving the United States Attorney’s Office in 1995, Mr. Considine was a litigation partner at Day Pitney LLP, where he chaired the firm’s Government Investigations Practice Group.  He was selected by DOJ’s Enron Task Force as federal monitor to oversee an international bank’s compliance with the terms of a Deferred Prosecution Agreement (DPA).  Mr. Considine was subsequently appointed as a member of the federal monitoring team to oversee a national health care services provider’s compliance with federal and state health care laws, regulations and programs, also as part of a DPA.

Mr. Considine is currently Vice-Chair of the Federal Bar Council and serves on its Executive Committee and Audit Committee. He has written and co-authored numerous articles on government investigations, corporate compliance, and representation of individuals and companies in parallel criminal and civil proceedings. 

Mr. Considine is a graduate of Georgetown University Law Center, Boston College, and Fordham Preparatory School.  He served as law clerk to the Honorable Shirley W. Kram, of the United States District Court for the Southern District of New York prior to his appointment as an Assistant U.S. Attorney.

Earlier today, in federal court in Brooklyn, James Wellesley was arraigned following his extradition from the United Kingdom (UK), where he was arrested in 2022.  In 2022, Wellesley, along with his co-defendant Stephen Burton, was charged with wire fraud conspiracy, wire fraud, and money laundering conspiracy in connection with a scheme perpetrated through Bordeaux Cellars, a company he and Burton operated.  Wellesley was arraigned today before United States Magistrate Judge Robert M. Levy. Burton was extradited from Morocco in 2023 and is currently pending trial.  Wellesley was ordered detained pending trial. 

Joseph Nocella, Jr., United States Attorney for the Eastern District of New York; Christopher G. Raia, Assistant Director in Charge, Federal Bureau of Investigation, New York Field Office (FBI), and Ricky J. Patel, Special Agent in Charge, Homeland Security Investigations, New York (HSI New York) announced Burton’s arraignment. 

“Today’s arraignment sends a message to all perpetrators of global fraud schemes that my Office will work tirelessly to ensure they answer for crimes committed in the United States,” stated United States Attorney Nocella.  “We will not rest in our efforts to seek justice for victims of fraud.”

“James Wellesley and his business partner allegedly concocted an elaborate scheme defrauding investors out of millions of dollars to finance their own personal expenses. Their alleged deceit spread across years and continents,” stated FBI New York Assistant Director in Charge Raia.  “Today’s arraignment signals to all criminals that the FBI will practice the same resolve in bringing perpetrators to justice.” 

“James Wellesley and his co-conspirator are accused of masterminding their nearly $100 million international fraud scheme that exploited the unsuspecting public, including New Yorkers, for their own selfish enrichment. As alleged, the defendants claimed Bordeaux Cellars boasted a high-value wine stockpile and a clientele of ‘high-net-worth wine collectors’ – and in turn profited handsomely – all while they swindled investors out of hundreds of thousands of dollars, if not more,” stated HSI New York Special Agent in Charge Patel.  “Let it be known, regardless of the nature of the transnational criminal scheme, HSI New York, alongside our law enforcement partners, will continue to adapt and evolve to fight global and domestic financial crimes wherever and whenever possible.”

The indictment alleges that from at least June 2017 and continuing through February of 2019, the defendants posed as executives Bordeaux Cellars.  The defendants solicited investors, including residents of the Eastern District of New York, at, among other places, investor conferences held in the United States and overseas.  The defendants claimed to investors that Bordeaux Cellars brokered loans between investors and high-net-worth wine collectors that would be fully collateralized by high-value collections of wine.  The defendants promised that investors would receive regular interest payments from the borrowers, and that Bordeaux Cellars would keep custody of the wine, securing the loans while the loans were outstanding.  As alleged, these representations were lies, the “high-net-worth wine collectors” did not actually exist, and Bordeaux Cellars did not maintain custody of the wine purportedly securing the loans.  Instead, the defendants used incoming loan proceeds to make fraudulent interest payments to investors and for their own personal expenses, resulting in $99 million dollars’ worth of misdirected funds. 

The charges in the indictment are allegations, and the defendants are presumed innocent unless and until proven guilty.  If convicted, the defendants face up to 20 years in prison. 

The Justice Department’s Office of International Affairs (OIA) provided significant assistance in securing Wellesley’s arrest and extradition from the UK.  This Office thanks UK authorities for their assistance in this matter.

The government’s case is being handled by the Office’s Business and Securities Fraud Section.  Assistant United States Attorney Benjamin Weintraub is in charge of the prosecution. 

The Defendants:

STEPHEN BURTON
Age: 60
United Kingdom

JAMES WELLESLEY
Age: 58
United Kingdom

E.D.N.Y. Docket No. 22-CR-79 (PKC)

A federal jury today in Brooklyn convicted Lesly Valentin, Aasim Boone, and Jarrett Bruce (also known as “Inf,” “Infinite,” and “Infamous”), of kidnapping conspiracy, transmission of interstate threats with intent to extort, and attempted obstruction of justice.  The verdict followed a three-week trial before United States District Judge Rachel P. Kovner.  When sentenced, the defendants face up to life in prison.

Joseph Nocella, Jr., United States Attorney for the Eastern District of New York and Christopher G. Raia, Assistant Director in Charge, Federal Bureau of Investigation, New York Field Office (FBI), announced the verdict.

“This was a heinous crime in which the defendants targeted a victim, abducted him from outside of his home, and subjected him to barbaric acts of torture and cruelty, all for financial gain,” stated United States Attorney Nocella.  “Once their crimes were uncovered, the defendants tried to destroy evidence.  With today’s verdict, the defendants’ efforts to escape accountability have failed and they now face significant punishment.”

Mr. Nocella thanked the Joint Violent Crimes Task Force, which is comprised of agents from the FBI and detectives from the New York City Police Department, for their assistance with the investigation.

As proven at trial, Boone, Bruce, and Valentin conspired to kidnap the victim on December 9, 2022.  The victim was seized outside of his apartment complex in Astoria, Queens.  After forcing the victim at gunpoint into a vehicle, Boone, Bruce, and Valentin drove the victim to New Jersey, subjected him to escalating forms of torture, and held him for nearly five hours.  During the attack, Boone, Bruce, and Valentin beat the victim with a gun, poured bleach on him, burned his back and legs with a blowtorch, and sliced the victim’s ear with a knife.  The victim was finally released on the Upper East Side of Manhattan.  Several days after the kidnapping, Valentin sent text messages to the victim, threatening further harm to him and his family if he failed to provide his abductors $150,000 in cash and 50 pounds of marijuana. After their scheme was uncovered, defendant Boone attempted to destroy electronic evidence tying him to the commission of the crime.

The government’s case is being supervised by the Office’s International Narcotics and Money Laundering Section.  Assistant United States  Attorneys Joshua B. Dugan, Lorena Michelen, and Andrew Wang are in charge of the prosecution with the assistance of Paralegal Specialist Wesley Roberts.

The Defendants:

AASIM BOONE
Age: 42
Englewood, New Jersey

JARRETT BRUCE (also known as “Inf,” “Infinite,” and “Infamous”)
Age: 41
Englewood, New Jersey

LESLY VALENTIN
Age: 39
Asbury Park, New Jersey

E.D.N.Y. Docket No. 23-CR-292 (S-4) (RPK)

Earlier today, at the federal courthouse in Brooklyn, Hugo Hernandez-Velazquez was sentenced by United States District Judge William F. Kuntz to 188 months’ imprisonment for sex trafficking multiple victims by force, fraud, and coercion.  The defendant was extradited from Mexico to the United States in February 2021.  He pleaded guilty to one count of sex trafficking in April 2023.  Hernandez-Velazquez will be deported to Mexico after completing his sentence.

Joseph Nocella, Jr., United States Attorney for the Eastern District of New York and Ricky J. Patel, Special Agent in Charge, Homeland Security Investigations, New York (HSI New York), announced the sentence.

“For years, the defendant and his siblings operated an illegal, abusive, and exploitative sex trafficking operation that stripped victims of their dignity and subjected them to inhumane violence,” stated United States Attorney Nocella.  “It is my hope that the prosecution of their tormentors and the punishment meted out will provide a measure of closure for the brave survivors who assisted the investigation and will help them on their path to healing.”

“For nearly a decade, the defendant and his family oversaw a vicious sex trafficking campaign wrought with violence, manipulation, coercion, and outright force against women whom they lured into romantic relationships through false promises of love and support,” stated HSI Special Agent in Charge Patel.  “Every day, victims are targeted for human trafficking and other vile forms of exploitation and abuse, often at the hands of their own spouses or purported caretakers.  Today's sentencing is no doubt a direct result of the bravery of each survivor who courageously spoke up.  Together with our partners, HSI is unflinchingly committed to investigating and vigorously pursuing anyone, anywhere, who sexually exploits the very individuals they claim to care for.”

Mr. Nocella commended HSI New York’s Trafficking in Persons Unit for leading the investigation of the Hernandez-Velazquez Sex Trafficking Organization; thanked the HSI Mexico City Attaché Office, the Department of Justice’s Office of International Affairs, the U.S. Department of State, Interpol, International Affairs Department of the Attorney General’s Office in Mexico, the Law Enforcement Unit of the State of Tlaxcala Attorney General’s Office, Interpol Mexico, and the New York City Police Department for their assistance; and praised the government of Mexico for its role in advancing bilateral anti-trafficking enforcement efforts.  Mr. Nocella also acknowledged the non-governmental victim service providers and advocates for their dedicated efforts to restore and improve the lives of survivors of trafficking and their families.

Between approximately 2001 and 2009, the defendant and his siblings, Ernesto, Giovanni and Arcelia Hernandez-Velazquez, ran the Hernandez-Velazquez Sex Trafficking organization (the family organization) based in Mexico.  The family organization used force, fraud, and coercion to cause young women in Mexico to engage in prostitution in the United States.  Members of the family organization lured victims into romantic relationships through false promises of love and support.  The victims were pressured to travel to the United States with promises of a better life with their trafficker.  Once smuggled into the United States, the victims were forced to engage in prostitution.  The family organization maintained a base in Queens, New York, where victims would reside while they were forced to work in New York and other states, including Alabama, Connecticut, Florida, Georgia, Louisiana, Maryland, Massachusetts, Mississippi, New Jersey, New York, North Carolina, Pennsylvania, Rhode Island, South Carolina, Tennessee, and Virginia.  The defendant subjected his victims to physical beatings, forced abortions, and threats. The defendant also threatened violence to the victims’ families to force the victims to continue prostituting on his behalf.

Judge Kuntz previously sentenced Hernandez-Velazquez’s siblings who also pleaded guilty to sex trafficking: Ernesto Hernandez-Velazquez and Giovanni Hernandez-Velazquez were each sentenced to 210 months’ imprisonment; and Arcelia Hernandez-Velazquez, who pleaded guilty to a Mann Act Violation, was sentenced to time served after approximately 60 months in U.S. custody.

The investigation, prosecution, bilateral enforcement action, and extradition of the defendant from Mexico was coordinated through the U.S.-Mexico Bilateral Human Trafficking Enforcement Initiative.  Since 2009, the Departments of Justice and Homeland Security have collaborated with Mexican law enforcement counterparts in a Bilateral Human Trafficking Enforcement Initiative to dismantle human trafficking networks operating across the U.S.-Mexico border, bring human traffickers to justice, restore the rights and dignity of human trafficking victims, and reunite victims with their children.  These efforts have resulted in successful prosecutions in both Mexico and the United States, including U.S. federal prosecutions of over 175 defendants in multiple cases in Georgia, New York, Florida, and Texas, in addition to numerous Mexican federal and state prosecutions of associated sex traffickers. 

The government’s case is being handled by the Office’s Human Trafficking and Civil Rights Section.  Assistant United States  Attorney Erin Reid is in charge of the prosecution.

The Defendant:

HUGO HERNANDEZ-VELAZQUEZ (also known as “Norberto Hernandez Velasquez” and “La Gallina”)
Age:  48
Mexico

Defendants Previously Sentenced:

ERNESTO HERNANDEZ-VELAZQUEZ (also known as “Chapas”)
Age:  45
Queens, New York

GIOVANNI HERNANDEZ-VELAZQUEZ
Age:  37
Mexico

ARCELIA HERNANDEZ-VELAZQUEZ (also known as “La Gordis”)
Age:  46
Queens, New York

E.D.N.Y. Docket No. 19-CR-306 (S-1) (WFK)

Earlier today, in federal court in Brooklyn, Anthony Villani, a captain in the Luchese organized crime family, was sentenced by United States District Judge Kiyo A. Matsumoto to 21 months in prison following his conviction for racketeering with predicate acts of money laundering and illegal gambling related to his running of a large-scale, illegal online gambling business  that operated under the protection of the Luchese organized crime family of La Cosa Nostra.  The gambling business, known as “Rhino Sports,” operated since the early 2000s and brought in at least $35 million in illicit profits during its operation.  As part of the sentence, Villani was ordered to pay $4 million in forfeiture.

Joseph Nocella, Jr., United States Attorney for the Eastern District of New York, and Christopher G. Raia, Assistant Director in Charge, Federal Bureau of Investigation, New York Field Office (FBI) announced the sentence.

“Today’s sentence holds Villani accountable for racketeering crimes committed on behalf of the Luchese organized crime family, while lining the enterprise’s coffers and his own pockets with millions of dollars,” stated United States Attorney Nocella.  “Illegal gambling and extortion may be commonplace for the Mafia, but a prison term is a bitter outcome for mobsters who show no regard for the law.” 

“Anthony Villani, a Luchese organized crime family captain, has been justly sentenced for his extensive criminal exploits related to his illegal gambling operation.  Today’s sentencing should serve as a warning to the Mafia and all organized criminal members, the FBI will continue to hold you accountable for the illicit criminal enterprises you rely on to fund your lifestyles and broader criminal activity,” stated FBI Assistant Director in Charge Raia.

According to court filings, the gambling business (the Gambling Business) that Villani supervised was in continuous operation from at least 2004 through December 2020.  During that period, the Gambling Business was hosted online using offshore servers in Costa Rica and employed local bookmakers to pay and collect winnings in cash.  Bookmakers were responsible for taking wagers from a group of bettors, collecting and paying individual bettors, and settling with Villani.  Villani received a percentage of each bookmaker’s earnings.  Records obtained from the Gambling Business’s website indicated that Villani’s illegal gambling operation regularly took bets from between 400 and 1,300 bettors each week, most of whom were based in New York City and the metropolitan area.  Villani’s bookmakers regularly included members and associates of the Luchese crime family and other La Cosa Nostra families.  Villani personally made at least $15 million in illegal profits from his work as the leader of the Gambling Business.  

Villani employed several trusted associates to help him manage the Gambling Business.  These employees included co-defendants Louis Tucci, Jr. and Dennis Filizzola, who reported directly to Villani as part of their work for the Gambling Business.  Both were responsible for picking up and collecting money from other bookmakers and met frequently with Villani.  In addition, co-defendants James Coumoutsos, who operated in the Gambling Business under the name “Quick,” and Michael Praino, who operated under the name “Platinum,” were bookmakers for the Gambling Business.  These four co-defendants previously pleaded guilty and are awaiting sentencing.  As part of their sentences, they have agreed to pay approximately $1 million in forfeiture.

In addition to operating the Gambling Business, Villani and Filizzola engaged in money laundering to conceal the source and nature of the significant illicit proceeds. At Villani’s direction, Filizzola took proceeds from the Gambling Business and used them to purchase U.S. Postal Service money orders in false names, which were then made payable to one of Villani’s property companies to appear as legitimate rental payments.

In addition to operating the Gambling Business and laundering its illicit proceeds, Villani also extorted John Doe.  Between October 2019 and October 2020, Villani threatened John Doe over the non-payment of approximately $300,000 that he stole from the Gambling Business.   Villani made several threats to John Doe.  Among these threats, Villani stated on April 27, 2020, “I’m not going to repeat myself.  I’m not going to ever say this again.  We’re just going to have a problem if I find out.  Alright?  And I don’t want to threaten you with my friends or anything, I’m not gonna, you put me in a f-----g hole with this guy?”  Villani’s threats against John Doe escalated and later on October 10, 2020, he stated, “Listen, get the f-----g money.  I’m telling you right now, you don’t get this money – f-----g run away.  Go get this f-----g money.”  Based on these threats and others, John Doe believed that the defendant or other members of the Luchese crime family would physically hurt or kill him if he did not repay the debt.  

The government’s case is being handled by the Office’s Organized Crime and Gangs Section.  Assistant United States Attorney Antoinette N. Rangel is in charge of the prosecution.  Assistant United States Attorney Claire S. Kedeshian of the Office’s Asset Recovery Section is handling forfeiture matters.

The Defendant:

ANTHONY VILLANI
Age:  60
Pleasantville, New York

E.D.N.Y. Docket No. 22-CR-405 (KAM)

Two indictments have been unsealed in federal court in Brooklyn charging a total of six defendants variously with firearms trafficking, unlicensed firearms dealing, and being a felon in possession of a firearm.  Yesterday and this morning, Karsem Allen, also known as “Short,” Carolyn Hicks-Torres, Henry McCummings, Rohnique Posey, also known as “Pioneer,” and Dominic Smith were arrested on an 11-count indictment.  They will be arraigned today before United States Magistrate Judge Vera M. Scanlon. Yesterday, James Strong was arrested on a separate indictment and was ordered detained this morning by Magistrate Judge Scanlon.

Joseph Nocella, Jr., United States Attorney for the Eastern District of New York, Bryan Miller, Special Agent in Charge, Bureau of Alcohol, Tobacco, Firearms, and Explosives, New York Division (ATF New York), and Jessica S. Tisch, Commissioner, New York City Police Department (NYPD), announced the arrests and charges.

“As alleged, the defendants brought deadly weapons to communities in Queens, flagrantly selling them in broad daylight near an elementary school and inside apartment complexes,” stated United States Attorney Nocella.  “The public should know that my Office and brave members of federal and local enforcement are working tirelessly to reduce gun violence by disrupting the flow of illegal guns to and within New York City and keeping them out of the hands of criminals.” 

“These indictments are the result proactive investigative efforts using crime gun intelligence and strong partnerships.  The brazenness of these firearms trafficking operations — selling nearly 50 illegal firearms and machine gun conversion devices in broad daylight near apartment buildings and a school — shows a complete disregard for the safety and well-being of the community.  Thanks to the outstanding work of the ATF New York Crime Gun Enforcement Team, ATF NYPD Joint Firearms Task Force, the NYPD's Intelligence Bureau, Detective Bureau, and Major Case Ghost Gun Team, ATF Newark, New Jersey, ATF Raleigh, North Carolina, the United States Postal Inspection Service, and the U.S. Attorney’s Office for the Eastern District of New York, these individuals have been held accountable.  We will continue to bring all resources to bear to stem the flow of illegal firearms into our neighborhoods.  Every illegal gun taken off the street is a potential life saved,” stated ATF New York Special Agent in Charge Miller.

“James Strong and his co-defendants allegedly funneled untraceable ghost guns and other deadly firearms into a vibrant Queens community, putting countless lives—including children—at risk,” stated NYPD Commissioner Tisch.  “Strong is a convicted killer who was out on parole when he carried out these sales, often in broad daylight and just steps from a school. This case is a powerful reminder of the importance of the work we do with our federal partners to get guns off our streets.  None of this would be possible without the dedicated work of the members of the NYPD, ATF, and the U.S. Attorney’s Office.”

United States v. James Strong

As set forth in court filings, Strong sold 21 firearms to two separate undercover law enforcement officers (the UCs) in heavily populated areas of Queens Village in broad daylight.  In some cases, the firearms were sold just blocks away from an elementary school.  The UCs told Strong that they were smuggling the guns to Trinidad in barrels.  In connection with these firearms sales, Strong is also charged with being a felon in possession of firearms due to his previous felony conviction for manslaughter stemming from a 2007 incident in which he shot an individual eight times, killing him, at a birthday party in Valley Stream on Long Island.  Strong was sentenced to 18 years in prison and was released on parole in October 2023.  Strong was on parole at the time he made the illegal sales.

U.S. v. Karsem Allen, et al.

As set forth in the indictment and other court filings, between December 2024 and June 2025, Allen, Hicks-Torres, McCummings, Posey, and Smith made multiple sales of at least 29 firearms, including semi-automatic and defaced weapons, inside apartment complexes in the Rockaways.  Allen and Hicks-Torres illegally obtained firearms in North Carolina from straw purchasers and then transported the weapons to New York City to be sold through Posey.  On one occasion, Allen and Hicks-Torres sold four machine gun conversion devices, which are designed for converting semi-automatic pistols into machine guns.  McCummings and Smith primarily sold “ghost guns” which typically do not have serial numbers and therefore are untraceable.  Posey is also charged with selling crack cocaine on four occasions.

The charges in the indictments are allegations and the defendants are presumed innocent unless and until proven guilty.

The government’s cases are being handled by the Office’s General Crimes Section.  Assistant United States Attorney Stephen Petraeus is in charge of prosecuting Strong.  Assistant United States Attorney Daniel Marcus is in charge of prosecuting Allen, Hicks-Torres, McCummings, Posey, and Smith.

The Defendants:

JAMES STRONG
Age:  35
Long Beach, New York

E.D.N.Y. Docket No. 25-CR-214 (NGG)

KARSEM ALLEN (also known as “Short”)
Age:  49
Henderson, North Carolina

CAROLYN HICKS-TORRES
Age:  53
Henderson, North Carolina

HENRY MCCUMMINGS
Age:  43
Arverne, New York

ROHNIQUE POSEY (also known as “Pioneer”)
Age:  47
Arverne, New York

DOMINIC SMITH
Age:  31
Teaneck, New Jersey

E.D.N.Y. Docket No. 25-CR-216 (BMC)

Earlier today, in federal court in Central Islip, Alexi Saenz, also known as “Blasty” and “Plaky,” the leader of the Brentwood/Central Islip chapter of the Sailors Locos Salvatruchas Westside (Sailors) clique of La Mara Salvatrucha, also known as the MS-13, a transnational criminal organization, was sentenced by United States District Judge Gary R. Brown to 68 years’ imprisonment.  On July 10, 2024, Saenz pleaded guilty to racketeering charges in connection with his participation in eight murders, namely, the January 28, 2016 murder of Michael Johnson; the April 29, 2016 murder of Oscar Acosta; the September 5, 2016 murder of Marcus Bohannon; the September 13, 2016 murders of Kayla Cuevas and Nisa Mickens; the October 10, 2016 murder of Javier Castillo; the October 13, 2016 murder of Dewann Stacks; and the January 30, 2017 murder of Esteban Alvarado-Bonilla, in addition to his participation in three attempted murders, and arson, narcotics trafficking, and firearms offenses.   

Joseph Nocella, Jr, United States Attorney for the Eastern District of New York; Christopher G. Raia, Assistant Director in Charge, Federal Bureau of Investigation, New York Field Office (FBI New York); and Kevin Catalina, Commissioner, Suffolk County Police Department (SCPD), announced the sentence.

“Alexi Saenz led an unspeakable reign of terror, killing, and crime that damaged his community and cost several people their lives,” stated United States Attorney Nocella.  “My Office and our law enforcement partners will continue to work tirelessly to hold the MS-13 and its members accountable for their horrific acts, including the pain they’ve caused victims and their loved ones.  This sentencing is one of many in our relentless pursuit to dismantle the MS-13 and other violent criminal organizations.” 

“For years, Alexi Saenz wielded his role as a local MS-13 leader to facilitate and participate in eight brutal murders of perceived rivals. Saenz terrorized Long Island as he indiscriminately targeted and hunted a wide range of victims, with careless regard to innocent bystanders harmed by his actions. May today’s sentencing emphasize the FBI’s relentless determination to crush all gang violence plaguing our communities,” stated FBI New York Assistant Director in Charge Raia.

“Alexi Saenz is a violent career criminal whose path of destruction ripped apart families and terrorized Suffolk County with his MS-13 cohorts,” stated SCPD Commissioner Catalina.  “I commend the efforts of the SCPD officers and our law enforcement partners who are dedicated to bringing violent gang criminals to justice and offering closure to the victims’ families.”

As set forth in the government’s sentencing memorandum, prior court filings, and statements during the sentencing, Alexi Saenz was the local leader of the Brentwood/Central Islip chapter of the Sailors clique of the MS-13 – one of the more powerful, violent, and well-established cliques on the East Coast of the United States.  He committed the following crimes in order to maintain and increase his membership and status within the gang and to further the mission of the MS-13:

January 28, 2016 Murder of Michael Johnson

On January 28, 2016, Alexi Saenz and other MS-13 members and associates were at the Jocorena Deli in Brentwood, where they saw 29-year-old Michael Johnson, and claimed to recognize him as a member of the rival Bloods street gang.  At that point, Johnson was marked as their “food” – a reference to their intention to kill him. 

After receiving the requisite approval from the New York leader of the Sailors clique to commit this murder, Alexi Saenz contacted several other MS-13 members, informed them of the plan to kill Johnson, and instructed them to bring weapons, including a machete and a baseball bat, to a wooded area in Brentwood.  Alexi Saenz then lured Johnson to that secluded meeting location under the guise of smoking marijuana.  The MS-13 members and associates ambushed Johnson from behind – striking Johnson with the baseball bat, stabbing him with a knife, and taking turns hacking him with the machete.  They fled after hearing police sirens in the area.   

Johnson was reported missing by family members. Less than one week after his murder, on February 2, 2016, members of the SCPD responded to a 911 call about a body found in the woods by a passerby, and recovered Johnson’s body.  An autopsy determined Johnson’s cause of death to be sharp and blunt force injuries.   

April 29, 2016 Murder of Oscar Acosta

In early 2016, Alexi Saenz and his fellow Sailors clique members decided to “green light,” or approve, the murder of 19-year-old Oscar Acosta because they suspected that he was associating with the rival 18th Street gang after previously aligning himself with the MS-13. The New York Sailors clique leader assigned roles as to which members would take the lead in planning and carrying out the murder. 

On April 29, 2016, MS-13 members met Acosta in a wooded area near an elementary school in Brentwood where he had been lured under the guise of smoking marijuana.  They brutally beat Acosta with tree limbs, knocking him unconscious. They bound Acosta’s hands and feet, wrapped an article of clothing around his mouth to prevent him from making noise, and summoned other MS-13 members, including Alexi Saenz.  The MS-13 members loaded Acosta into the trunk of Alexi Saenz’s car, and drove to a more secluded area in Brentwood near the abandoned Pilgrim State Psychiatric Hospital.  At the direction of Alexi Saenz, the MS-13 members removed Acosta, who was still alive, from the trunk and carried him deeper into the woods where they took turns hacking him to death with a machete.  The murder was supervised by Alexi Saenz, as his role as the local clique leader.  The MS-13 members then buried Acosta’s body in a shallow grave.   

Acosta’s body was discovered by law enforcement nearly five months later, on September 16, 2016, during a search for another MS-13 victim.  His cause of death was homicidal violence, including sharp and blunt force injuries to his head and torso.

July 18, 2016 Attempted Murders of John Doe #1 and John Doe #2

On July 18, 2016, during a Sailors clique meeting at Alexi Saenz’s house in Central Islip, the defendant instructed the group to hunt for rival gang members who had been disrespectful to the MS-13, in order to attack and kill them.

Later that evening, other members of the MS-13, who were driving around Brentwood armed with firearms and a machete, spotted a group of men on Apple Street. Believing these men to be members of a rival gang, three MS-13 members got out of the car and attacked the group, firing rounds from two different guns, and then using a machete to hack at one of the men who had fallen to the ground.  After the attack, the group drove back to Alexi Saenz’s house, where they hid the weapons.

Two individuals were injured as a result of this attack.  John Doe #1 was struck with a bullet, but survived.  John Doe #2 was attacked with a machete, and was permanently disfigured.

August 10, 2016 Attempted Murders of Suspected Rival Gang Members

In 2016, members of the MS-13 were engaged in a series of disputes with members of the Goon Squad, a rival gang in Brentwood. 

On August 10, 2016, Alexi Saenz and another MS-13 member drove through the neighborhood around Lukens Avenue in Brentwood, and spotted several men who they believed were members of the Goon Squad. They then rallied other members of the Sailors clique to come kill the rivals. 

The MS-13 members divided into two vehicles, and drove towards the house where the suspected Goon Squad members had been spotted. Alexi Saenz’s car kept watch for the police, while two other MS-13 members, each bearing a gun, approached the group of suspected rivals and fired numerous shots in their direction.  No one was hit, although a stray bullet entered a neighbor’s house and struck the headboard of a bed in which the neighbor was sleeping.

September 5, 2016 Murder of Marcus Bohannon

On September 4, 2016, during a Sailors clique meeting at Alexi Saenz’s house in Central Islip, the defendant and other MS-13 members went out hunting for rival gang members to kill.

The MS-13 members separated into several cars and drove around Central Islip and Brentwood, until Alexi Saenz’s group spotted 27-year old Marcus Bohannon walking along Lowell Avenue in Central Islip in the early morning hours of September 5.  Suspecting that Bohannon was a member of the rival Bloods gang, two MS-13 members, carrying firearms, got out of the vehicle, approached him, and started shooting.  Alexi Saenz then drove them away.  Bohannon was struck nine times, including in his head, neck, and chest, and died from his wounds.

September 12, 2016 Arson

During the summer of 2016, Sailors clique members of the MS-13 engaged in regular altercations with local gang members based in a neighborhood on Freeman Avenue in Brentwood.

On September 12, 2016, MS-13 members retaliated by setting fire to a car parked in the driveway of one of the houses in that rival gang neighborhood.  Alexi Saenz directed other gang members to purchase gasoline and carry out the arson, while he drove around watching for police presence.  The other MS-13 gang members drove to that house, where they poured gasoline on a car parked in the driveway, and set it on fire.  The car exploded, and set another parked car on fire.   

September 13, 2016 Murders of Kayla Cuevas and Nisa Mickens

On September 13, 2016, Sailors clique members brutally murdered 15-year-old Nisa Mickens and 16-year-old Kayla Cuevas, both students at Brentwood High School.

In the months leading up to the murders, Cuevas was involved in a series of disputes with members and associates of the MS-13.  Approximately one week before the murders, these disputes escalated when Cuevas and several friends were involved in an altercation with MS-13 members at Brentwood High School.  After that incident, the MS-13 members vowed to seek revenge against Cuevas.

On the evening of September 13, 2016, Alexi Saenz and other members of the Sailors clique of the MS-13 were driving in separate cars around Brentwood in search of rival gang members to attack and kill.  One group of MS-13 members spotted Cuevas and Mickens walking down residential Stahley Street.  Recognizing Cuevas, they called Alexi Saenz and were granted permission to kill the girls. Several MS-13 members then chased down and attacked both Cuevas and Mickens, wielding baseball bats and a machete, striking each of the girls numerous times in their heads and bodies, while Alexi Saenz’s car drove around watching for police.  After the murders, the group retreated to Alexi Saenz’s home in Central Islip, where they changed clothes and hid the weapons.   

Mickens, whose body was discovered later that evening on Stahley Street, not far from Cuevas’s home, sustained significant sharp force trauma to her face and blunt force trauma to her head.  Cuevas, whose body was discovered the following day behind a house adjacent to where Mickens’s body was found, sustained significant blunt force trauma to her head and body and multiple lacerations.

October 10, 2016 Murder of Javier Castillo

In October 2016, the MS-13 targeted 15-year-old Javier Castillo because he was believed to be a member of the 18th Street gang, one of MS-13’s principal rivals. 

On October 10, 2016, several members of the Sailors clique convinced Castillo, who lived in Central Islip, to drive with them to Freeport – approximately 30 miles away – to smoke marijuana.  Once there, they met Alexi Saenz and other Sailors clique members.  The group then lured Castillo to an isolated marsh area in Cow Meadow Park, where they attacked him, taking turns hacking him to death with a machete. 

Afterwards, the MS-13 members dug a hole and buried Castillo’s body, which was not recovered until one year later, in late October 2017.  Castillo was determined to have suffered multiple sharp force injuries to his head, neck, torso, and extremities.

October 13, 2016 Murder of Dewann Stacks

On the evening of October 13, 2016, Alexi Saenz and other members of the Sailors clique of MS-13 were driving around Central Islip and Brentwood in search of rival gang members to attack and kill.

That night, they spotted 34-year-old Dewann Stacks and, believing him to be a rival gang member, Alexi Saenz authorized his murder.  While Alexi Saenz drove around watching for police presence, another group of MS-13 members, armed with two machetes and a baseball bat, drove over to attack Stacks.  Three armed MS-13 members got out of the car, and beat and hacked Stacks to death on American Boulevard, a residential street in Brentwood.  Stacks sustained severe sharp and blunt force trauma to his face and head, leaving his body nearly unrecognizable.

January 30, 2017 Murder of Esteban Alvarado-Bonilla

On the morning of January 30, 2017, Alexi Saenz and other members of the Sailors clique of MS-13 spotted 29-year-old Esteban Alvarado-Bonilla inside El Campesino Deli in Central Islip.  Since Alvarado-Bonilla was wearing a football jersey bearing the number “18,” the MS-13 concluded that he was a member of a rival gang and plotted to kill him.

Several other MS-13 members obtained a mask and another vehicle that would be used to commit the murder.  Alexi Saenz provided the clique’s 9-millimeter handgun for use in the murder.

At approximately 10:30 a.m., a masked MS-13 member entered the deli, approached Alvarado-Bonilla from behind, and shot him multiple times, killing him.  One of the bullets pierced through Alvarado-Bonilla’s head and struck the chest of a female employee of the deli, who was standing directly in front of him.  The deli employee survived the gunshot wound.   

Narcotics Trafficking Conspiracy

For a year and a half, from approximately April 2016 through March 2017, in order to finance the illegal operations of the Sailors clique, Alexi Saenz obtained wholesale quantities of cocaine and marijuana, which he distributed to other Sailors clique members and associates for street-level sales in Brentwood and its surrounding areas.  After the sales, the profits were turned over to Alexi Saenz, for use in, among other things, purchasing firearms for use by clique members, wiring money to MS-13 leaders in El Salvador, and buying additional narcotics for further distribution.     

                                   *          *          *          *

Today’s sentencing is the latest achievement in a series of federal prosecutions by the United States Attorney’s Office for the Eastern District of New York targeting members of the MS-13, a violent, transnational criminal organization.  The MS-13’s leadership is based in El Salvador, Honduras, Guatemala, and Mexico, but the gang has thousands of members across the United States.  With numerous branches, or “cliques,” the MS-13 is the most violent criminal organization on Long Island.  Since 2003, hundreds of MS-13 members, including dozens of clique leaders, have been convicted on federal felony charges in the Eastern District of New York. A majority of those MS-13 members have been convicted on federal racketeering charges for participating in murders, attempted murders, and assaults.  Since 2010, this Office has obtained indictments charging MS-13 members with carrying out more than 75 murders in the Eastern District of New York, resulting in the convictions of dozens of MS-13 leaders and members in connection with those murders.  These prosecutions are the product of investigations led by the FBI’s Long Island Gang Task Force, which is comprised of agents and officers of the FBI, SCPD, Nassau County Police Department, Nassau County Sheriff’s Department, Suffolk County Probation Office, Suffolk County Sheriff’s Office, the New York State Police, the Hempstead Police Department, the Rockville Centre Police Department, and the New York State Department of Corrections and Community Supervision.

The case is part of Operation Take Back America, a Department of Justice initiative aimed at eradicating transnational criminal organizations, combating violent crime, and restoring the rule of law.

This prosecution is also part of an Organized Crime Drug Enforcement Task Forces (OCDETF) investigation.  OCDETF identifies, disrupts, and dismantles the highest-level drug traffickers, money launderers, gangs, and transnational criminal organizations that threaten the United States by using a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks.

The government’s case is being handled by the Criminal Section of the Office’s Long Island Division.  Assistant United States Attorneys John J. Durham, Paul G. Scotti, Justina L. Geraci, and Megan E. Farrell are in charge of the prosecution, with the assistance of Paralegal Specialist Kerryanne Ucci and Automated Litigation Specialist Michael Compitello.

The Defendant:

ALEXI SAENZ (also known as “Blasty” and “Plaky”)
Age: 30
El Divisadero, Morazán, El Salvador; and Central Islip, New York

E.D.N.Y. Docket No. 16-CR-403 (S-8) (GRB)

Earlier today, at the federal courthouse in Brooklyn, Calvin Tabron was sentenced by United States District Judge William F. Kuntz II to 63 months in prison for conspiring to traffic firearms.  Tabron acted as a straw purchaser for a gun trafficking ring that operated around the Breukelen Houses, a New York City Housing Authority development in Canarsie, Brooklyn.  Tabron pleaded guilty to the charge in March 2024. 

 Judge Kuntz previously sentenced Tabron’s three co-defendants who pleaded guilty to gun and narcotics trafficking charges: David Mccann was sentenced to 108 months’ imprisonment for conspiring to traffic firearms and fentanyl; Tajhai Jones was sentenced to 97 months’ imprisonment for conspiring to traffic firearms; and Raymond Minaya was sentenced to 135 months’ imprisonment for conspiring to traffic firearms and cocaine base.  The defendants were charged in January 2023 in the first case in New York to publicly charge the gun trafficking provisions of the Bipartisan Safer Communities Act.

 Joseph Nocella, Jr., United States Attorney for the Eastern District of New York; Frank A. Tarentino, III, Special Agent in Charge, Drug Enforcement Administration, New York Division (DEA); and Jessica S. Tisch, Commissioner, New York City Police Department (NYPD), announced the sentences.

 “The defendants’ convictions and sentences demonstrate our resolve to hold accountable those who flood the streets of Brooklyn with deadly weapons and drugs, feeding the cycles of gun violence and substance abuse,” stated United States Attorney Nocella.  “My Office will continue to vigorously enforce our laws by using the tools provided by Congress, such as the Bipartisan Safer Communities Act, to prosecute gun traffickers.” 

 “Today’s sentencing of Calvin Tabron is a direct result of the collaboration we have with our law enforcement partners in targeting those individuals who compromise the safety and security of our communities,” stated DEA New York Special Agent in Charge Tarentino.  “Mr. Tabron not only pushed fentanyl onto our streets, but chose to push and sell weapons as well, both which could have resulted in senseless and deadly consequences. Removing these individuals from our streets, saves lives.”

 “Today’s sentencing is the culmination of government at every level—local, state, and federal—working together to hold dangerous criminals accountable,” stated NYPD Commissioner Tisch.  “Calvin Tabron pumped illegal weapons, including untraceable ghost guns, and drugs into a Brooklyn community, putting countless lives at risk.  I thank all the NYPD investigators, the DEA, and the U.S. Attorney’s Office for their tireless efforts in this historic case.”

According to court filings, the defendants’ gun-trafficking operation involved the sale of at least 50 illegal firearms over multiple transactions in Brooklyn between January 2022 and August 2022.  The defendants conducted these firearms sales in broad daylight in a public park, in shopping center parking lots, in vehicles in and around the Breukelen Houses, across from a church, and blocks away from a preschool and grade school.  Tabron and Jones obtained firearms in Virginia and then transported them to New York to be sold on the streets of Brooklyn.  Some of the firearms sold by the defendants had defaced serial numbers or were made from ghost gun kits, making them harder for law enforcement to trace.  Mccann and Minaya also engaged in significant narcotics trafficking conspiracies, including a fentanyl distribution conspiracy that introduced thousands of lethal doses of fentanyl into the community.

Firearms sold in the conspiracy have also been linked to shootings in Brooklyn.  For example, on June 22, 2022, Minaya sold an undercover officer a Glock 30, .45 caliber handgun.  The investigation revealed that this gun was used in an August 21, 2021 shooting in Bedford-Stuyvesant during which armed perpetrators shot into a large crowd gathered for a family day celebration.  In total, eight individuals were struck by gunfire.  Another gun trafficked by Minaya—a Glock 43, 9-millimeter caliber handgun—is linked to a December 18, 2021 shooting of an individual in Canarsie, in the blocks surrounding the Breukelen Houses complex.  That individual sustained multiple gunshot wounds to his body.

The government’s case is being handled by the Office’s General Crimes Division and supervised by the Office’s International Narcotics and Money Laundering Section.  Assistant United States Attorneys Adam Amir, Irisa Chen, and James R. Simmons are in charge of the prosecution.

The Defendant Sentenced Today:

CALVIN TABRON
Age: 27
Virginia Beach, Virginia

Defendants Previously Sentenced:

DAVID MCCANN
Age:  30
Brooklyn, New York

TAJHAI JONES
Age:  31
Portsmouth, Virginia

RAYMOND MINAYA
Age:  29
Brooklyn, New York

E.D.N.Y. Docket No. 23-CR-8 (WFK)

BROOKLYN, NY – Fifteen individuals, including two pharmacists, have been charged for their participation in schemes in which the Medicare and Medicaid programs, and other health care benefit programs, were fraudulently billed more than $10.6 billion. In one case, dubbed “Operation Gold Rush” by law enforcement, 11 defendants, members of a transnational criminal organization (the Organization) based in Russia and elsewhere, allegedly orchestrated a multi-billion-dollar health care fraud and money laundering scheme to steal from the Medicare program and private health insurance companies. The charges filed in the Eastern District of New York are part of the 2025 National Health Care Fraud Takedown, a coordinated law enforcement action across the United States led by the Department of Justice’s Criminal Division, Fraud Section Health Care Fraud Unit.

United States Attorney General Pamela Bondi; Joseph Nocella, Jr., United States Attorney for the Eastern District of New York; Matthew R. Galeotti, Head of the Justice Department’s Criminal Division; and Christian J. Schrank, Deputy Inspector General for Investigations, U.S. Department of Health and Human Services, Office of the Inspector General (HHS-OIG) announced the charges.

“This record-setting Health Care Fraud Takedown delivers justice to criminal actors who prey upon our most vulnerable citizens and steal from hardworking American taxpayers,” stated Attorney General Bondi. “Make no mistake – this administration will not tolerate criminals who line their pockets with taxpayer dollars while endangering the health and safety of our communities.”

“As alleged, the defendants perpetrated health care frauds of staggering proportions, victimizing taxpayers and government programs that serve the most vulnerable members of our society,” stated United States Attorney Nocella.  “My Office is working closely with our law enforcement partners to investigate and track down, here and abroad, those criminals who treat government funded programs and insurance providers like ATMs, and to hold them accountable for every dollar they brazenly stole.  As for the defendants charged with submitting billions of dollars in phony Medicare claims, that is a health care fraud record they will regret setting.”

Mr. Nocella expressed his appreciation to the Federal Bureau of Investigation, New York and Connecticut Field Offices; Internal Revenue Service Criminal Investigation, New York; the Organized Crime Drug Enforcement Task Forces; the New York City Department of Investigation; the New York City Police Department; and the Nassau County Police Department for their invaluable assistance.

“The Criminal Division is intensely committed to rooting out health care fraud schemes and prosecuting the criminals who perpetrate them because these schemes: (1) often result in physical patient harm through medically unnecessary treatments or failure to provide the correct treatments; (2) contribute to our nationwide opioid epidemic and exacerbate controlled substance addiction; and (3) do all of that while stealing money hardworking Americans contribute to pay for the care of their elders and other vulnerable citizens,” stated  Matthew R. Galeotti, Head of the Justice Department’s Criminal Division. “The Division’s Health Care Fraud Unit and U.S. Attorneys’ Offices stand united with our law enforcement partners in this fight, and we will continue to use every tool at our disposal to protect the integrity of our health care programs for the American people.”

“This case underscores the relentless commitment of HHS-OIG and our law enforcement partners to protecting the integrity of federal health care programs,” stated HHS-OIG Deputy Inspector General Schrank.  “Despite the scope and sophistication of this transnational criminal enterprise, our collaborative efforts helped prevent billions in fraudulent claims from being paid by Medicare. We will continue to work tirelessly across borders and agencies to identify, disrupt, and dismantle those who seek to exploit our health care system and steal from American taxpayers.”

The schemes charged in the Eastern District of New York, detailed in four indictments and one information, are as follows:

Operation Gold Rush:  In the largest health care fraud case by loss amount ever charged by the Department of Justice, Imam Nakhmatullaev, Svjatoslav Jakovlev, Eric Juergens, Jaan Juergens, Ilja Karunas, Juri Karunas, Jason Onoufrienko, Renek Tiku, Vladislav Turaskin, Kevin Valdhans, and Vjatseslav Zogolev were charged with conspiracy to commit money laundering.  Nakhmatullaev, Jakovlev, Eric Juergens, Jaan Juergens, Onoufrienko, Tiku, Turaskin, Valdhans, and Zogolev were also charged with conspiracy to commit health care fraud, and wire fraud, and Jakovlev, Valdhans, Jaan Juergens, and Onoufrienko were each charged with one count of health care fraud.  As alleged in the indictment, the defendants were members of a transnational criminal organization based in Russia and elsewhere, that orchestrated a multi-billion-dollar health care fraud and money laundering scheme to target, exploit, and steal from Medicare.  The Organization purchased dozens of durable medical equipment companies (Scheme DME Companies) that already had the ability to submit claims to Medicare and Medicare Supplemental Insurers.  The Organization executed these purchases by paying foreign nationals and others to serve as nominee owners of the Scheme DME Companies.  The Organization then created fictitious corporate records that falsely indicated that the nominee owners controlled the Scheme DME Companies when, in fact, they were controlled by the Organization’s foreign-based leadership. After the Organization gained control over the Scheme DME Companies, it rapidly submitted billions of dollars in false and fraudulent health care claims to Medicare.  The Organization did so by stealing the identities and personal identifying information of more than one million Americans in all 50 states, including elderly and disabled Americans.

The Organization submitted over $10.6 billion in fraudulent Medicare claims for DME.  HHS-OIG and the Centers for Medicare and Medicaid Services successfully prevented the Organization from receiving the vast majority of the money that it conspired to steal from Medicare.  The fraudulent scheme nonetheless resulted in payments to Scheme DME Companies from Medicare Supplemental Insurers estimated to be nearly $900 million and Medicare payments to the Scheme DME Companies of approximately $41 million. 

As further alleged, the Organization exploited the U.S. financial system.  The Organization leveraged U.S. financial institutions to deposit checks and transfer funds out of accounts.  The health care fraud proceeds were particularly susceptible to laundering because they originated from legitimate sources—Medicare and Medicare Supplemental Insurers—giving the funds the initial appearance of legitimacy.  The Organization deployed a range of tactics to circumvent the anti-money laundering controls at multiple financial institutions.  To open financial accounts, the Organization armed its nominee owners, many of whom were not lawfully present in the United States, with false documentation reflecting that the nominee owners maintained beneficial ownership and control of the Scheme DME Companies for which they were attempting to open accounts and thereby disguised the true beneficial ownership and control of the entities and the accounts.  Moreover, the use of the Scheme DME Companies’ names to open financial accounts allowed the Organization to benefit from the illusion of legitimate commercial activity within the health care market.  Upon opening the financial accounts, the Organization funneled fraud proceeds from Medicare and Medicare Supplemental Insurers into the accounts as seemingly “clean” money.  From there, the Organization siphoned off the funds to shell companies and various banks overseas, including banks in China, Singapore, Pakistan, Israel, and Turkey.  To further conceal the money trail, the Organization leveraged cryptocurrency to launder the stolen funds.

The Organization constantly evolved, recruiting new nominee owners, stealing new identities, and acquiring new Scheme DME Companies to replace those shut down by law enforcement.  This evolution was made possible through the Organization’s extensive use of virtual private servers (VPSs) to execute nearly all digital aspects of the scheme. The VPSs allowed the Organization to use a cyberinfrastructure that helped conceal conspirators’ true physical locations, mask Organization IP addresses, and scale fraudulent operations internationally.

Four defendants, Ilja Karunas, Juri Karunas, Erik Juergens, and Renek Tiku were arrested June 25, 2025 in Estonia on these charges, and the United States is seeking their extradition.  The remaining seven defendants are at large.

To date, the government has seized approximately $27.7 million in fraud proceeds as part of Operation Gold Rush, subject to criminal forfeiture and civil forfeiture in a case filed in the District of Connecticut.  The criminal case is being prosecuted by Strike Force Assistant Chiefs Kevin Lowell and Shankar Ramamurthy, and Strike Force Trial Attorneys Leonid Sandlar, Sara Porter, Andres Almendarez, Monica Cooper, Thomas Campbell, Danielle Sakowski, and Matthew Belz.  Trial Attorneys Emily Cohen and Chelsea Rooney of the Money Laundering and Asset Recovery Section, and Assistant U.S. Attorney David C. Nelson of the District of Connecticut are handling civil forfeiture matters. 

The United States thanks the Economic Crime Bureau of the National Criminal Police of the Estonian Police and Border Guard Board and the Office of the Prosecutor General for support with the investigation. 

United States v. Mak:  Hong Yuen Mak, also known as “Joe Mak,” waived indictment and pleaded guilty to an information charging him with conspiracy to offer and pay kickbacks in an alleged scheme to fraudulently bill Medicare over $1 million for over the counter (OTC) products.  As alleged, Mak, a pharmacy owner, and his co-conspirators paid pharmacy customers with gift cards in exchange for charging the customers’ OTC cards for non-existent transactions.  Assistant U.S. Attorney John Vagelatos is in charge of the prosecution.

United States v. Manaev:  Boris Manaev is charged with health care fraud and unlawful monetary transactions in connection with an $8.2 million scheme.  As alleged in the indictment, Manaev, the owner of BB Medical Equipment Inc., billed Medicare $8.2 million for medically unnecessary DME that was shipped nationwide. Hespent some of the proceeds of the fraud on improvements to his home.  Trial Attorney Patrick J. Campbell of the Northeast Strike Force is in charge of the prosecution.

United States v. Huq:  Mujjahid Huq is charged by indictment with three counts of health care fraud, two counts of unlawful monetary transactions, and conspiracy to make false statements in health care matters in connection with a $2.1 million pharmacy fraud scheme.  As alleged in the indictment, Huq, a licensed pharmacist, owned several pharmacies in Brooklyn, Queens, and Buffalo, New York.  Through these pharmacies, Huq billed Medicare and Medicaid $2.1 million for drugs that were not dispensed.  Huq also allegedly agreed with others to make false statements about his ownership of the pharmacies, and used the fraud proceeds for his personal benefit.  Trial Attorneys Patrick J. Campbell and Arun Bodapati of the Northeast Strike Force are in charge of the prosecution.

United States v. Brown-Arkah:  Joseph Tony Brown-Arkah is charged with conspiracy to commit health care fraud, health care fraud, conspiracy to distribute narcotics, and narcotics distribution in connection with an alleged $85 million health care fraud and narcotics distribution scheme.  As alleged in the superseding indictment, Brown-Arkah, the owner of a Suboxone clinic doing business as American Medical Centers (AMC), together with others, engaged in a scheme to bill Medicare and Medicaid fraudulently for services not provided or not provided as billed, and to prescribe narcotics pursuant to prescriptions that were not issued for a legitimate medical purpose by a provider acting in the usual course of professional practice.  In particular, AMC patients received prescriptions for Suboxone (a Schedule III narcotic) after meeting with non-licensed medical providers, an excluded provider, or in some instances, no health care provider whatsoever.  The prescriptions were written by a medical provider living in Florida, who did not see or speak with the patients; instead, the provider typically issued the prescriptions based on information provided by Brown-Arkah or another co-conspirator.  AMC patients were also required to submit to urine drug screening, blood tests, and sometimes other diagnostic testing in order to receive their Suboxone prescriptions; the laboratory and diagnostic tests, which were typically ordered by Brown-Arkah or by a co-conspirator who had been excluded from Medicare and Medicaid, were likewise billed to Medicare and Medicaid.  Trial Attorneys Miriam Glaser Dauermann of the National Rapid Response Strike Force and Maggie Mortimer of the Northeast Strike Force are in charge of the prosecution.

The charges in the indictments and the information are allegations, and the defendants are presumed innocent unless and until proven guilty.

The Defendants:

IMAM NAKHMATULLAEV
Age:  24
Russia

SVJATOSLAV JAKOVLEV
Age:  29
Estonia; New York, New York

ERIC JUERGENS
Age:  29
Estonia; Brooklyn, New York

JAAN JUERGENS
Age:  32
Estonia; Brooklyn, New York

ILJA KARUNAS
Age:  26
Estonia

JURI KARUNAS
Age:  27
Estonia; Brooklyn, New York

JASON ONOUFRIENKO
Age:  24
Plantation, Florida

RENEK TIKU
Age:  34
Estonia; Brooklyn, New York

VLADISLAV TURASKIN
Age:  29
Estonia; Brooklyn, New York

KEVIN VALDHANS
Age:  27
Czech Republic

VJATSESLAV ZOGOLEV
Age:  33
Estonia

E.D.N.Y. Docket No. 25-CR-203 (RPK)

HONG YUEN MAK (also known as “Joe Mak”)
Age:  40
Brooklyn, New York

E.D.N.Y. Docket No. 25-CR-158 (DG)

JOSEPH TONY BROWN-ARKAH
Age:  78
Brooklyn, New York

E.D.N.Y. Docket No: 24-CR-263 (FB)

BORIS MANAEV
Age:  45
Lynbrook, Long Island

E.D.N.Y. Docket No. 25-CR-202 (RER)

MUJJAHID HUQ
Age:  45
Halesite, New York

E.D.N.Y. Docket No. 25-CR-213 (FB)

Earlier today, in federal court in Brooklyn, Richard Dale Sterritt, Jr., also known as “Richard Richman,” was sentenced to 18 years in prison by United States District Judge Kiyo A. Matsumoto for conspiracy to commit securities fraud and wire fraud, multiple counts of securities fraud, and conspiracy to commit money laundering.  The charges relate to a scheme to defraud investors in Zona Energy, an oil and gas exploration company in Texas, and a scheme to manipulate stock in OrgHarvest, Inc., a publicly traded company that Sterritt controlled.  In total, Sterritt raised approximately $17 million from investors and misappropriated most of the money.  As part of the sentence, Sterritt was ordered to forfeit approximately $17 million in fraudulently obtained gains and pay approximately $16.3 million in restitution to his victims.  Sterritt pleaded guilty to the charges in November 2023.  Sterritt had previously been convicted on federal securities fraud charges and imprisoned for five years for his role in a nearly identical fraud scheme.

Joseph Nocella, Jr., United States Attorney for the Eastern District of New York, and Christopher G. Raia, Assistant Director in Charge, Federal Bureau of Investigation, New York Field Office (FBI), announced the sentence.

“For years, Richard Sterritt preyed on unsuspecting investors and betrayed their trust by spending their money on expensive cars, luxury goods, and high-end travel,” stated United States Attorney Nocella.  “Today’s sentence punishes Sterritt for his crimes and protects the public from this serial fraudster.  My Office is committed to protecting the investing public and the integrity of the markets from white-collar criminals like the defendant.”

Mr. Nocella thanked the U.S. Securities and Exchange Commission (SEC) and Financial Industry Regulatory Authority (FINRA) for their invaluable assistance in the investigation.

“Despite his prior conviction for a similar conspiracy, Richard Sterritt once again facilitated the theft of more than $17 million from trusted investors and shareholders through misrepresentations while separately attempting to manipulate the stock of another company,” stated FBI Assistant Director in Charge Raia.  “Sterritt's multiple attempts to defraud investors reflects his relentless pursuit to use others' money to fund his personal lifestyle and businesses.  May today's sentencing emphasize the FBI's continued commitment to investigate any individual who manipulates our economic market to line their own pockets.”

The Zona Energy Scheme 

Between March 2018 and January 2021, Sterritt and his co-defendants James Christopher Pittman, Mark Ross, and Robert Magness defrauded investors in an early-stage oil-and-gas company called Zona Energy.  Sterritt used a series of sham entities and nominees to conceal his control of Zona Energy.  Sterritt also concealed his criminal history from investors and potential investors by adopting the alias “Richard Richman.”  The co-conspirators made a series of misrepresentations about Zona Energy’s business, management, and use of proceeds from the offering, ultimately raising approximately $17 million from investors.  Sterritt and his co-conspirators misappropriated more than $10 million of the proceeds to purchase luxury items, pay personal expenses, or funnel funds into other businesses Sterritt controlled, including a cannabis company.

The ORGH Market Manipulation

To cover up the Zona Energy scheme, Sterritt, Ross, and Magness conspired with an undercover FBI agent (the “Undercover Agent”) posing as a corrupt stockbroker to manipulate the price and trading volume of publicly traded shares of stock in OrgHarvest, Inc., which traded under the stock ticker “ORGH.”  Sterritt, who secretly controlled the majority of ORGH shares through trusts in the names of his associates, family members, and co-conspirators, agreed with the Undercover Agent to place matched trades at specific prices, volumes, and times to inflate the price of ORGH stock. Between approximately May 19, 2020 and May 28, 2020, the co-conspirators placed test matched trades at the pre-determined prices and volumes agreed to with the Undercover Agent.  The ORGH Market Manipulation scheme was halted by regulators on June 1, 2020 before the co-conspirators could trade larger blocks of shares.

In addition, Sterritt and his co-defendants, including Michael Greer and Sterritt’s ex-wife Robyn Straza, laundered the proceeds of the schemes by facilitating financial transactions to conceal and promote the fraudulent schemes, including by transferring investor funds through a series of bank accounts controlled by the defendants.  Furthermore, Sterritt obstructed the administration of justice when he directed co-conspirators to create fake and backdated documents and sent them to the SEC in response to subpoena requests.

All six defendants in the case have pleaded guilty.  Straza was sentenced to 10 months in prison; Ross was sentenced to three months in prison; Greer, Magness, and James Christopher Pittman are awaiting sentencing.

The government’s case is being handled by the Office’s Business and Securities Fraud Section.  Assistant United States Attorneys Sarah M. Evans, Nick M. Axelrod, and Jessica K. Weigel are in charge of the prosecution.

The Defendant:

RICHARD DALE STERRITT, JR. (also known as “Richard Richman”)
Age: 67
Residence: Garland, Texas

Co-Defendants Who Previously Pleaded Guilty:

MICHAEL GREER
Age: 48
Dallas, Texas

ROBERT MAGNESS
Age: 54
New York, New York

JAMES CHRISTOPHER PITTMAN
Age: 52
Dallas, Texas

MARK ROSS
Age: 56
Parkland, Florida

ROBYN STRAZA
Age: 61
Dallas, Texas

E.D.N.Y. Docket No. 21-CR-193 (KAM)

Earlier today, in federal court in Brooklyn, a complaint was filed charging Dalip Singh and Gurnirmal Singh, the owners of TEMCO Construction NY, Inc., with conspiracy to commit wire fraud in a scheme to submit falsified payroll records to the New York City Department of Education (DOE) about the wages and benefits paid by TEMCO to employees performing repairs on New York City public schools.  Dalip Singh and Gurnirmal Singh were arrested this morning and will make their initial appearance this afternoon before United States Magistrate Judge Cheryl L. Pollak.

Joseph Nocella, Jr., United States Attorney for the Eastern District of New York; Harry T. Chavis, Jr., Special Agent in Charge, Internal Revenue Service-Criminal Investigation, New York (IRS-CI); Michael Alfonso, Acting Special Agent in Charge, Homeland Security Investigations, New York (HSI New York); and Amy Connelly, Special Agent in Charge, Social Security Administration, Office of the Inspector General, Boston-New York Field Division (SSAOIG), announced the arrests and charges.

“As alleged, the defendants lied to the DOE about using undocumented workers, and deprived those workers—who toiled long days, school holidays, and weekends—of proper compensation they had earned, so that they could line their pockets and bank accounts on New York City’s tab,” stated United States Attorney Nocella.  “My Office and our law enforcement partners will vigorously pursue employers who try to gain an unfair advantage over honest companies that follow the law and treat their workers fairly.”

Mr. Nocella expressed his appreciation to the DOE and the New York City Office of the Comptroller for their assistance.

“The Singhs allegedly laundered more than thirteen million dollars from the City of New York, underpaying their workers in cash and pocketing the difference.  These two men took advantage of both the taxpayers and undocumented workers, then tried to destroy the evidence.  It is clear that there was no regard for the rule of law, but after today, they will learn what justice is all about,” stated IRS-CI New York Special Agent in Charge Chavis.

“Today’s charges reflect our relentless pursuit of criminal businesses that undermine the viability of immigration systems, circumvent labor laws, and ultimately gain an unfair financial advantage in the national economy via the employment of illegal aliens,” stated HSI New York Acting Special Agent in Charge Alfonso.  “The message is clear:  if you exploit the unauthorized workforce for personal gain and undercut American jobs, HSI—along with our law enforcement partners—will hold you accountable.”

“These defendants broke the law by hiring illegal undocumented workers, exploited them by underpaying them and manipulating wage records to falsely inflate their own and their family members’ Social Security earnings,” stated Amy Connelly, Special Agent in Charge, SSA OIG, New York Field Division. “Their scheme defrauded federal programs that rely on accurate wage reporting. We thank our partners at the IRS and HSI New York for their collaboration in uncovering this fraud and holding the owners of TEMCO Construction NY accountable.”

From approximately December 2017 to April 2025, TEMCO maintained an office in Jamaica, New York.  In April 2025, TEMCO moved its office to Hicksville, New York.  According to the criminal complaint, between 2017 and 2025, Dalip Singh and Gurnirmal Singh, who are not related, hired undocumented aliens without legal authorization to work in the United States to provide masonry, scaffolding, and construction services at New York City public schools and DOE buildings (“DOE Worksites”) at below the prevailing wage required by New York State labor law and contracts with the DOE.  Dalip Singh then submitted false certified payrolls to the DOE for work performed by TEMCO employees at DOE Worksites.  These payroll certifications falsely listed relatives who did not actually work at the DOE Worksites, falsely omitted some undocumented workers who actually worked at the DOE Worksites, and falsely overstated the wages being paid to TEMCO’s workers.

Specifically, Dalip Singh falsely stated that TEMCO had paid its employees the prevailing wage when in fact, the employees had been paid far less, often in cash, or had their wages on other jobs lowered to offset the prevailing wages on the DOE work.  The defendants pocketed the difference that their employees were underpaid.

As further alleged in the complaint, the defendants attempted to conceal their fraud, directing their workers to lie to New York City investigators about the wages they received.  When Dalip Singh suspected that law enforcement agents were investigating, he directed his employees to conceal and destroy records.

The charges in the complaint are allegations and the defendants are presumed innocent unless and until proven guilty. If convicted of wire fraud, the defendants each face up to 20 years in prison.

This case is part of the U.S. Attorney for the Eastern District of New York’s Transnational Criminal Organizations (TCOs) Strike Force.  Capitalizing on the Office’s preeminence in this area, the Strike Force focuses on investigating, prosecuting and dismantling cartels and TCOs.

The government’s case is being handled by the Office’s Business and Securities Fraud Section. Assistant United States  Attorney John Vagelatos is in charge of the prosecution.

The Defendant:

DALIP SINGH
Age: 67
East Meadow, Long Island

GURNIRMAL SINGH
Age: 64
Westbury, Long Island

E.D.N.Y. Docket No. 25-MJ-219

Earlier today, in federal court in Brooklyn, Dwayne Golden was sentenced by United States District Judge William F. Kuntz, II to 97 months in prison for conspiracy to commit wire fraud and money laundering.  The charges relate to a conspiracy to offer fraudulent investments in digital assets. Golden and his co-conspirators raised more than $40 million from investors based on false promises of guaranteed returns from trading in digital assets.  In fact, the defendants’ businesses operated as Ponzi schemes and used the money to repay existing investors or to benefit themselves.  After the schemes collapsed, Golden and co-defendants William White and Gregory Aggesen conspired to obstruct multiple federal investigations. As a part of his sentence, Golden was also ordered to forfeit approximately $2.46 million in ill-gotten gains.  Restitution will be determined by the Court at a later date.  Golden pleaded guilty in September 2024.

Joseph Nocella, Jr., United States Attorney for the Eastern District of New York, and Christopher G. Raia, Assistant Director in Charge, Federal Bureau of Investigation, New York Field Office (FBI), announced the sentence.  

“Dwayne Golden and his co-conspirators took advantage of investor interest in exciting new technologies to perpetrate a fraud scheme that is as old as time, and to make millions of dollars for themselves in the process,” stated United States Attorney Nocella.  “Golden and his co-defendants offered no legitimate services and none of the companies engaged in any actual trading in cryptocurrency as they claimed.  My Office is committed to protecting the investing public and the integrity of the digital assets markets from fraudsters like the defendant, and we will be relentless in pursing justice for investors.”

Mr. Nocella thanked the Commodity Futures Trading Commission (CFTC) for its invaluable assistance in the investigation.

“Alongside his co-conspirators, Dwayne Golden orchestrated an elaborate scheme rooted in deceit and false promises to swindle investors of more than $40 million.  Johnson’s lack of candor misled both his clients and federal investigators, demonstrating an utter disregard for integrity to his company or adherence to the law,” stated FBI Assistant Director Raia.  “May today’s sentencing reflect the FBI’s steadfast commitment to dismantling any sham company that steals from the pockets of unsuspecting victims.”

Between April 2017 and August 2017, Golden, co-defendants Gregory Aggesen, and Marquis Demacking Egerton, also known as “Mardy Eger,” together with others, operated a series of digital asset companies called EmpowerCoin, ECoinPlus, and Jet-Coin.  EmpowerCoin, ECoinPlus, and Jet-Coin promised investors and potential investors guaranteed fixed returns on digital asset investments. They further fraudulently promised investors and potential investors that these returns were made possible through overseas digital asset trading operations.  In reality, the assets were used to repay other investors or stolen by Golden, Aggesen, and Egerton, and the companies collapsed shortly after receiving the investors’ assets without the companies having engaged in trading activity.  In total, during its period of operation, EmpowerCoin, ECoinPlus, and Jet-Coin received more than $40 million from investors.

From July 2017 to the March 2022, Golden, Aggesen and White conspired to obstruct a Federal Trade Commission (FTC) investigation and a federal criminal grand jury investigation into the fraudulent schemes.  Golden, Aggesen, and White destroyed evidence, and White, on Aggesen’s behalf, provided false and misleading information to the FTC and in response to a federal grand jury subpoena.

If you were an EmpowerCoin.com, ECoinPlus.com and/or Jet-Coin.com investor, you may be entitled to restitution.  To submit a claim for restitution, please visit http://fbi.gov/jetcoinscams.

The four defendants in the case have pleaded guilty.  White was sentenced to 30 months in prison.  Aggesen and Egerton are awaiting sentencing.

The government’s case is being handled by the Office’s Business and Securities Fraud Section. Assistant United States Attorneys Alixandra E. Smith, Catherine M. Mirabile and Nick M. Axelrod are in charge of the prosecution, with the assistance of Assistant United States Attorney Claire Kedeshian of the Office’s Asset Recovery Section, who is handling forfeiture matters.

The Defendants:

DWAYNE GOLDEN
Age: 57
Harrisburg, Pennsylvania

GREGORY AGGESEN
Age: 58
Standfordville, New York

MARQUIS DEMACKING EGERTON (also known as “Mardy Eger”)
Age: 58
Washington, North Carolina

WILLIAM WHITE
Age: 54
Harrisburg, Pennsylvania

E.D.N.Y. Docket No. 22-CR-88 (S-1) (WFK)

Yesterday in federal court in Brooklyn, Sergei Zharnovnikov, 46, of Bishkek, Kyrgyzstan, pleaded guilty to conspiracy to commit export violations. The defendant exported firearms and ammunition worth over $1.5 million from the United States to Russia, in violation of U.S. law. When sentenced, Zharnovnikov faces up to 20 years in prison.

“By his own admission, Zharnovnikov willfully violated U.S. export controls to smuggle American-made firearms into Russia,” said Assistant Attorney General for National Security John A. Eisenberg. “The National Security Division will continue to work closely with our law enforcement partners to disrupt illicit arms networks and prosecute those who illegally transfer U.S. weaponry abroad.”

“The defendant admitted that he purchased American-made, military-grade firearms and re-exported them to Russia,” said U.S. Attorney Joseph Nocella for the Eastern District of New York. “Today’s guilty plea is the culmination of extensive investigative work, showing that this office will not allow merchants of lethal weapons and Russia to flout U.S. sanctions.”

According to court filings and statements made during the plea proceeding, the defendant is the owner of an arms dealer located in Bishkek, Kyrgyzstan (Kyrgyzstan Company-1). Since at least March 2020, the defendant, together with others, has conspired to export firearms controlled by the U.S. Department of Commerce from the United States to Russia. The defendant exported $1,582,836.52 worth of U.S.-manufactured firearms and ammunition from the United States to Russia without the required licenses from the Department of Commerce. In one transaction, he entered into a five‑year, $900,000 contract with a company in the United States (U.S. Company‑1) to purchase and export U.S. Company-1 firearms to Kyrgyzstan. The Department of Commerce issued a license for U.S. Company-1 to export firearms to Kyrgyzstan Company-1. The license, however, explicitly prohibited the export or re-export of the firearms to Russia. Nevertheless, the defendant exported and re-exported U.S. Company‑1 firearms, including semi‑automatic hybrid rifle-pistols, to Russia via Kyrgyzstan without the necessary approvals.

According to an export filing, in connection with the defendant’s contract with U.S. Company-1, U.S. Company-1 exported semi-automatic rifles from John F. Kennedy International Airport to Kyrgyzstan Company-1 on or about July 10, 2022. On or about Nov. 14, 2022, the General Director of a Russian company — a client of the defendant — executed a tax form listing the same semi‑automatic rifle‑pistols that U.S. Company‑1 had exported to Kyrgyzstan Company‑1, the defendant’s company. The defendant did not apply for, obtain, or possess a license to export or re-export the semi‑automatic pistol-rifles to Russia.

Zharnovnikov traveled from Kyrgyzstan to the United States on or about Jan. 18, 2025. The defendant traveled to Las Vegas, where he attended the Shooting, Hunting, and Outdoor Trade (SHOT) Show to meet with U.S. arms dealers.

The FBI New York Field Office and Department of Commerce Bureau of Industry and Security Office of Export Enforcement are investigating the case.

Assistant U.S. Attorney Ellen H. Sise for the Eastern District of New York and Trial Attorney Leslie Esbrook of the National Security Division’s Counterintelligence and Export Control Section are prosecuting the case, with assistance from Litigation Analyst Rebecca Roth of the U.S. Attorney’s Office for the Eastern District of New York. 

Earlier today, in federal court in Brooklyn, Marc Lazarre was sentenced by United States District Judge Kiyo A. Matsumoto to a prison term of 30 months for conspiracy to commit wire fraud and aggravated identity theft as part of a scheme to steal the personal identifying information of homeless individuals and to use that stolen information to fraudulently apply for unemployment insurance benefits.

Joseph Nocella, Jr., United States Attorney for the Eastern District of New York; Christopher G. Raia, Assistant Director in Charge, Federal Bureau of Investigation, New York Field Office (FBI); and Jocelyn E. Strauber, Commissioner, New York City Department of Investigation (DOI), announced the sentence.

“The defendant exploited his relationship with a corrupt city employee to access vulnerable homeless victims’ personal identifying information in an attempt to defraud a state agency,” stated United States Attorney Nocella.  “Exploiting positions of power for personal financial gain—or conspiring with public employees who abuse their positions of public trust—will be vigorously investigated and prosecuted.”

“With the assistance of a corrupt city employee, Marc Lazarre misused restricted information to fraudulently obtain unemployment benefits using stolen identities of homeless individuals. This conspiracy not only violated and exploited a vulnerable population’s privacy, but also deprived these victims of vital financial benefits. The FBI is committed to disrupting all corrupt schemes that target our city’s financial assistance programs and profit at the expense of defenseless victims,” stated FBI Assistant Director in Charge Raia.

DOI Commissioner Jocelyn E. Strauber stated: “This defendant participated in a fraudulent scheme to unlawfully obtain the personal information of homeless New Yorkers and steal public benefits to which he was not entitled and today he faces the consequences of his conduct.  I thank the United States Attorney’s Office for the Eastern District of New York and the FBI for their continued partnership in protecting public funds and holding accountable those who drain critical resources intended for New York’s most vulnerable.”

In the fall of 2020, Lazarre conspired with co-defendant Olabanji Otufale, a fraud investigator with the New York City Department of Homeless Services, to steal the personal identifying information of homeless individuals and to use that stolen information to fraudulently apply for unemployment insurance benefits in the names of those homeless individuals without their knowledge or consent.

Otufale used his access to a Department of Homeless Services database to commit fraud.  He stole the personal identifying information—names, social security numbers, and dates of birth—of vulnerable victims who had given that personal information to the Department of Homeless Services when they applied for social services. Otufale then texted this information to Lazarre, who applied online for unemployment benefits in the names of the homeless victims.  Otufale was previously sentenced by Judge Matsumoto to 27 months’ imprisonment.

The government’s case is being handled by the Office’s Public Integrity Section.  Assistant United States Attorneys Sara K. Winik, Laura Zuckerwise, and Katherine P. Onyshko are in charge of the prosecution.

The Defendant:

Marc Lazarre
Age: 40
Secaucus, New Jersey

Defendant Previously Sentenced: 

Olabanji Otufale
Age: 42
Brooklyn, New York

E.D.N.Y. Docket No. 24-CR-170 (KAM)

BROOKLYN, NY – A federal grand jury in Brooklyn yesterday returned a second superseding indictment that added charges against Linda Sun and her husband and co-defendant Chris Hu related to a fraudulent scheme involving procurement of personal protective equipment (PPE) by the New York State (NYS) government at the start of the COVID-19 pandemic.  As part of the scheme, Sun steered contracts to vendors with whom she had undisclosed personal connections, and she and Hu received millions of dollars from the vendors, including some in the form of kickbacks, which Sun did not disclose to the NYS government.  The new charges against Sun and Hu include honest services wire fraud, honest services wire fraud conspiracy, bribery, and conspiracy to defraud the United States.  Additionally, Hu is charged with tax evasion.  The defendants will be arraigned on Monday, June 30, 2025.

Joseph Nocella, Jr., United States Attorney for the Eastern District of New York; Christopher G. Raia, Assistant Director in Charge, Federal Bureau of Investigation, New York Field Office (FBI); and Harry T. Chavis, Jr., Special Agent in Charge, Internal Revenue Service-Criminal Investigation (IRS-CI New York), announced the new charges.

“As alleged, Linda Sun not only acted as unregistered agent of the government of the People’s Republic of China, but also enriched herself to the tune of millions of dollars when New York State was at its most vulnerable at the start of the COVID-19 pandemic,” stated United States Attorney Nocella.  “When masks, gloves, and other protective supplies were hard to find, Sun abused her position of trust to steer contracts to her associates so that she and her husband could share in the profits.  We demand better from our public servants, and this Office will continue to hold accountable public officials who enrich themselves at the expense of the New York taxpayers.”

Mr. Nocella expressed his appreciation to the Department of Justice’s National Security Division, the New York State Office of the Inspector General, the New York State Police, and the U.S. Department of State’s Diplomatic Security Service (DSS) for their work on the case.  He also thanked the New York State Executive Chamber for its cooperation with the investigation.

“During a global pandemic, Linda Sun allegedly leveraged her authority within the New York State government to secretly steer contracts to selective PPE vendors in exchange for millions of dollars in kickbacks to her and her husband,” stated FBI Assistant Director in Charge Raia.  “This alleged scheme not only created an unearned and undisclosed benefit for the defendants and their relatives, but it also exploited the state's critical need for resources in a health crisis. The FBI will never tolerate any public official who abuses their position to profit at the expense of others, especially when their objectives align with foreign agendas.”

“Not only did Sun allegedly use Chinese money and her influence in New York State to benefit the Chinese government, it is further alleged that she used her position to steer multi-million-dollar contracts to companies controlled by family members and friends.  With this investigation, this husband-and-wife team with supposed ties to corruption has been rooted out, and they will soon understand that in legitimate government spending, there is no friends and family discount,” stated IRS-CI New York Special Agent in Charge Chavis.

As alleged in the superseding indictment, at the outset of the COVID-19 pandemic and while working with the team of NYS government employees responsible for obtaining PPE, Sun used her position of influence with the government of the People’s Republic of China (PRC) to coordinate the NYS government’s purchase of PPE from vendors located in the PRC.  In addition to certain vendors referred by the PRC government, Sun referred two vendors (the Cousin Company and the Associate Company) that were not recommended by the PRC government but rather had ties to Sun and Hu, while claiming falsely that these, too, were referrals from components of the PRC government.  In reality, the Cousin Company was operated by one of Sun’s second cousins, and the Associate Company was operated by Hu and one of Hu’s business associates.  With Sun’s assistance, the Cousin Company and the Associate Company each entered into multiple contracts with the NYS government worth millions of dollars apiece.

Sun, the Associate Company, and the Cousin Company did not disclose to the NYS government (1) the fact that Sun and Hu had relationships with the Associate Company and the Cousin Company, or (2) that Sun and Hu received a portion of the profits that the Associate Company and the Cousin Company made as a result of their contracts with the NYS government for PPE, including through kickback payments from the Cousin Company.

To conceal her relationship with the Cousin Company from procurement authorities at the NYS government, Sun falsified a document to suggest that the Jiangsu Department of Commerce had recommended the Cousin Company.  On or about March 20, 2020, Sun and other NYS government officials received an email from the U.S. representative to the Jiangsu Trade & Business Representative Office in Albany, New York suggesting four PRC-based vendors who were able to provide PPE for the NYS government.  On or about March 21, 2020, Sun forwarded herself an altered version of the email in which she replaced the first suggested vendor—a vendor that produced ventilators—with the Cousin Company and wrote that the Cousin Company was recommended by the Jiangsu Department of Commerce.

On or about March 24, 2020, in an email with the subject line “Already VERIFIED by Linda Sun,” Sun wrote to NYS procurement officials that the Cousin Company “came recommended by Jiangsu Chamber of Commerce,” that the representative had helped “screen potential vendors,” and that the Cousin Company’s surgical mask was the “gold standard.”  Below Sun’s message was what purported to be quoted text from the Jiangsu Chamber of Commerce’s email recommending vendors. However, the email in the quoted text was the altered email.

In connection with the Cousin Company contracts with the NYS government, a spreadsheet maintained on Sun and Hu’s personal computer indicated that the Cousin provided payments to Hu (and Sun) totaling approximately $2.3 million during 2020 and 2021.  These kickbacks from the Cousin Company represented taxable income.  Hu did not report these payments as income to the U.S. government, as required, or pay taxes on this income in Forms 1040 for 2020 and 2021 that he filed on behalf of himself and Sun.

In part, Hu laundered the income from the Cousin Company by having the Cousin make $1.5 million in payments in three $500,000 increments from another entity that the Cousin owned (the Cousin Entity) to U.S. accounts at a financial institution.  Hu created these accounts in a close relative’s name instead of his own on April 29, 2020, two days before the final $6 million payment from NYS government to the Cousin Company.

Sun also arranged for the Associate Company to be a vendor for NYS government contracts.  On March 14, 2020, Sun wrote an email with the subject “Mask suppliers” to other members of the NYS government PPE task force with procurement authority and listed the Associate Company as a potential supplier.  Sun subsequently communicated with the Associate Company by email to obtain a price quote for the contract and provided a status update to the NYS government about the contracts with the Associate Company.

A computer owned by the defendants contained a NYS internal document tracking various state PPE contracts, broken out by vendor.  One of the fields in the document contained, for each company, an answer to the question “why did we do business with this vendor?”  For the Associate Company, the answer to the question was listed as: “referred by Chinese chamber of commerce.”  However, there was no such referral for the Associate Company.

According to a spreadsheet found in one of Hu’s electronic accounts, the total profits Hu expected to reap from the contracts that the Associate Company and the Cousin Company had with the NYS Department of Health totaled $8,029,741.  Hu marked the column for these expected profits with the word “me.”

The new charges are in addition to the existing charges against Sun, which include violating and conspiring to violate the Foreign Agents Registration Act, visa fraud, alien smuggling, and money laundering, and the existing charges against Hu, which include money laundering conspiracy, money laundering, as well as conspiracy to commit bank fraud and misuse of means of identification.  The charges in the superseding indictment are allegations and the defendants are presumed innocent unless and until proven guilty.

The government’s case is being handled by the Office’s National Security and Cybercrime Section.  Assistant United States Attorneys Alexander A. Solomon, Robert M. Pollack, and Amanda Shami are in charge of the prosecution, with the assistance of Trial Attorney Eli Ross from the National Security Division’s Counterintelligence and Export Control Section and Litigation Analyst Emma Tavangari. Assistant U.S. Attorney Laura Mantell of the Office’s Asset Recovery Section is handling forfeiture matters.

The Defendants:

LINDA SUN, also known as “Wen Sun,” “Ling Da Sun,” and “Linda Hu”
Age: 41
Manhasset, New York

CHRIS HU
Age: 40
Manhasset, New York

E.D.N.Y. Docket No. 24-CR-346 (S-2) (BMC)

Earlier today in federal court in Brooklyn, Kyrgyz national Sergei Zharnovnikov pleaded guilty to conspiracy to commit export violations.  The defendant exported firearms and ammunition worth over $1.5 million from the United States to Russia, in violation of U.S. law. When sentenced, Zharnovnikov faces up to 20 years in prison.

Joseph Nocella, Jr., United States Attorney for the Eastern District of New York; John Eisenberg, Assistant Attorney General for the Justice Department’s National Security Division; Christopher G. Raia, Assistant Director in Charge, Federal Bureau of Investigation, New York Field Office (FBI); and Jonathan Carson, Special Agent in Charge, U.S. Department of Commerce, Bureau of Industry and Security, Office of Export Enforcement, New York Field Office (BIS-OEE), announced the guilty plea.

“The defendant admitted that he purchased American-made, military-grade firearms and re-exported them to Russia,” stated United States Attorney Nocella.  “Today’s guilty plea is the culmination of extensive investigative work, showing that this Office will not allow merchants of lethal weapons to flout U.S. sanctions.”

“By his own admission, Zharnovnikov willfully violated U.S. export controls to smuggle American-made firearms into Russia,” stated Assistant Attorney General for National Security Eisenberg.  “The National Security Division will continue to work closely with our law enforcement partners to disrupt illicit arms networks and prosecute those who illegally transfer U.S. weaponry abroad.”

“Sergei Zharnovnikov admitted to violating export control laws by exporting US semi-automatic firearms to Russia via Kyrgyzstan.  Schemes designed to evade export laws are not only illegal but also endanger our country’s security.  The FBI along with our partners will continue our efforts to defend the homeland by bringing to justice any criminal attempting to evade the laws enacted to protect our national security,” stated FBI Assistant Director in Charge Raia.

According to court filings and statements made during the plea proceeding, the defendant is the owner of an arms dealer located in Bishkek, Kyrgyzstan (Kyrgyzstan Company-1).  Since at least March 2020, the defendant, together with others, has conspired to export firearms controlled by the United States Department of Commerce (DOC) from the United States to Russia.  The defendant exported $1,582,836.52 worth of U.S.-manufactured firearms and ammunition from the United States to Russia.  In one transaction, he entered into a five‑year, $900,000 contract with a company in the United States (U.S. Company‑1) to purchase and export U.S. Company-1 firearms to Kyrgyzstan.  DOC issued a license for U.S. Company-1 to export firearms to Kyrgyzstan Company-1, but the license prohibited the export or re-export of the firearms to Russia.  Nevertheless, the defendant exported and re-exported U.S. Company‑1 firearms to Russia (via Kyrgyzstan), including semi‑automatic hybrid rifle-pistols from U.S. Company-1.

According to an export filing, U.S. Company-1 exported semi-automatic rifles from John F. Kennedy International Airport to Kyrgyzstan Company-1 on or about July 10, 2022.  On or about November 14, 2022, the General Director of a Russian company that is a client of the defendant executed a tax form listing the same semi‑automatic rifle‑pistols that U.S. Company‑1 had exported to Kyrgyzstan Company‑1, the defendant’s company.  The defendant did not apply for, obtain, or possess a license to export or re-export the semi‑automatic pistol-rifles to Russia.

The government’s case is being handled by the Office’s National Security and Cybercrime Section.  Assistant United States  Attorney Ellen H. Sise is in charge of the prosecution, along with Trial Attorney Leslie Esbrook of the National Security Division’s Counterintelligence and Export Control Section, with assistance from Litigation Analyst Rebecca Roth.

The Defendant:

SERGEI ZHARNOVNIKOV
AGE:  47
Bishkek, Kyrgyzstan

E.D.N.Y. Docket No. 25-CR-45 (HG)

Earlier today in Central Islip, an indictment was unsealed in federal court charging five members of the violent transnational criminal organization La Mara Salvatrucha, also known as the “MS-13,” with multiple racketeering offenses in connection with two murders—the October 28, 2023 murder of Yoneli Ramos-Moreno at the Sunken Meadow Bluff in Kings Park, New York, and the March 3, 2025 murder of Carlos Lopez-Lopez in Blue Point, New York—and with other charges including murder, conspiracy to commit murder, and narcotics trafficking conspiracy (the Indictment).  The five defendants are David Orellana-Aleman, also known as “Tenebroso” (Orellana-Aleman), who is a leader in the Hollywood Locos Salvatruchas (Hollywood) subgroup or “clique” of the MS-13; Noel Portillo-Romero, also known as “Discreto” (Portillo-Romero), a member of the Carlington Locos Salvatruchas clique of the MS-13 (Carlington); Cruz Eduardo Sanchez-Gutierrez, also known as “Escriper,” “Poison,” and “Bellaco” (Sanchez-Gutierrez), a member of the Hollywood clique; Ernesto Torres-Hernandez, also known as “Perverso” (Torres-Hernandez), a member of the Carlington clique; and Omar Zavala-Ventura, also known as “Snyder,” “Little Ejecutor,” “Pequeno Ejecutor,” and “Liro” (Zavala-Ventura), a member of the Hollywood clique.

Portillo-Romero, Sanchez-Gutierrez and Torres-Hernandez were arrested yesterday, and they are scheduled to be arraigned this afternoon before United States District Judge Gary R. Brown.  Orellana-Aleman is currently in the custody of Immigration and Customs Enforcement (“ICE”), and Zavala-Ventura is currently in federal custody.  They will be arraigned at a later date.

Joseph Nocella, Jr., United States Attorney for the Eastern District of New York; Michael Alfonso, Acting Special Agent in Charge, Homeland Security Investigations, New York (HSI New York); Kevin Catalina, Commissioner, Suffolk County Police Department (SCPD); Raymond A. Tierney, Suffolk County District Attorney; and Steven G. James, Superintendent, New York State Police (NYSP), announced the arrests and charges.

“The legal terms in the Indictment cannot adequately describe the sheer savagery with which the defendants, in service to the MS-13 gang, beat, strangled, and murdered Ramos-Moreno, and plotted to murder Lopez-Lopez,” stated United States Attorney Nocella.  “The charges in the indictment demonstrate my Office and our law enforcement partners’ resolve to hold vicious transnational organized crime groups like MS-13 accountable for their crimes and continue the mission to eradicate them from Long Island.”

Mr. Nocella expressed his appreciation to the Federal Bureau of Investigation, U.S. Customs and Border Protection, the Suffolk County Sheriff’s Office, the New York City Police Department, the Glen Cove Police Department, and U.S. Customs and Immigration Enforcement, Enforcement and Removal Operations for their valuable assistance and partnership in this case.

“These violent gang members, allegedly involved in murder and poisoning our communities through the sale of drugs, pose a serious threat to our communities that we will not tolerate,” stated HSI New York Acting Special Agent in Alfonso.  “MS-13 gang members committing such vile acts, as outlined in this indictment, represent the 'worst of the worst' among criminal aliens. HSI is dedicated to disrupting and dismantling these foreign terrorist organizations that threaten our communities and national security.”

“The indictment of these five individuals connected to the brutal executions of two people—all because they were viewed as disloyal—is a clear demonstration of our commitment to hold these defendants accountable,” stated SCPD Commissioner Catalina.  “The violence carried out by MS-13 reaches barbaric proportions and we will continue to collaborate with our law enforcement partners to put an end to this transnational gang’s reign of terror.”

“I thank the U.S. Attorney’s Office EDNY for their leadership in working together with their local partners to investigate and charge these alleged members of the MS-13 gang. Meaningful collaboration between all levels of law enforcement is always vital to safeguard public safety, but never more so then when you are investigating alleged crimes committed by members and associates of violent transnational gangs such as the MS-13,” stated Suffolk County District Attorney Tierney.

“Precise coordination, excellent police work and investigative persistence at all levels was key in bringing these murderers to justice. I commend each agency involved for their tireless efforts and invaluable partnership. The New York State Police remains committed to keeping our communities safe from dangerous criminals and the violence that they perpetuate,” stated NYSP Superintendent James.

As alleged in the Indictment, the defendants participated in the murder of Ramos-Moreno, a former associate of the MS-13, who was targeted by the gang because he was suspected of being disloyal, and specifically by associating with the rival Latin Kings.  Ramos-Moreno was first lured to a parking lot in Hauppauge and then driven to the Sunken Meadow Bluff where he was strangled with a rope and beaten to death.  The gang members dragged his body deeper into the woods and left the area.  Later, the defendants burned the rope used to kill Ramos-Moreno and destroyed his cellular phone.

Three of the defendants, Portillo-Romero, Torres-Hernandez, and Zavala-Ventura, have also been charged with a conspiracy to murder Carlos Lopez-Lopez, who was stabbed to death and drowned after being attacked on the beach in Blue Point, New York.  The victim, a former member of the MS-13 who also participated in the Ramos-Moreno murder, was targeted because the MS-13 members believed that he was cooperating with law enforcement.

Finally, the Indictment charges the defendants with conspiring to distribute cocaine and marijuana.  These charges stem from the MS-13 cliques’ street-level sales of cocaine and marijuana on Long Island, the proceeds of which were used to help finance the MS-13’s criminal operations, including purchasing firearms, ammunition, and other weapons, and sending money to MS-13 leadership in the United States and Central America.

The Indictment is the latest in a series of federal prosecutions by the United States Attorney’s Office for the Eastern District of New York targeting members of the MS-13, a violent transnational criminal organization.  The MS-13 is comprised primarily of immigrants from Central America, and it has leaders in El Salvador, Honduras, Mexico, and the United States, with thousands of members all over the world.  With numerous branches, or “cliques,” the MS-13 is the most violent criminal organization on Long Island.  Since 2003, hundreds of MS-13 members, including dozens of clique leaders, have been convicted on federal felony charges in the Eastern District of New York. A majority of those MS-13 members have been convicted on federal racketeering charges for participating in murders, attempted murders and assaults.  Since 2010 alone, this Office has obtained indictments charging MS-13 members with carrying out more than 75 murders in the Eastern District of New York, and it has convicted dozens of MS-13 leaders and members in connection with those murders.  These prosecutions are the product of extensive collaboration with numerous law enforcement agencies, including HSI, FBI, and our local and state partners.

The charges in the Indictment are allegations, and the defendants are presumed innocent unless and until proven guilty.  If convicted, each of the defendants faces up to life in prison, or the possibility of the death penalty. 

This case is part of Operation Take Back America, a Department of Justice initiative aimed at eradicating transnational criminal organizations, combating violent crime, and restoring the rule of law.

The government’s case is being handled by the Criminal Section of the Office’s Long Island Division.  Assistant United States  Attorneys Megan E. Farrell, Paul G. Scotti, and Justina L. Geraci are in charge of the prosecution.

The Defendants:

David Orellana-Aleman (also known as “Tenebroso”)
Age:  27
Hyattsville, Maryland

Noel Portillo-Romero (also known as “Discreto”)
Age:  27
Hempstead, New York and Central Islip, New York

Cruz Eduardo Sanchez-Gutierrez (also known as “Escriper,” “Poison,” and “Bellaco”)
Age:  29
Glen Cove, New York and Central Islip, New York

Ernesto Torres-Hernandez (also known as “Perverso”)
Age:  26
Port Jefferson, New York and Central Islip, New York

Omar Zavala-Ventura (also known as “Snyder,” “Little Ejecutor,” “Pequeno Ejecutor,” and “Liro”)
Age:  27
Glen Cove, New York

E.D.N.Y. Docket No. 25-CR-209 (GRB)

Earlier today, in federal court in Central Islip, Renee Hoberman, also known as “Rina,” a licensed social worker, pleaded guilty to receipt and distribution of child pornography.  The proceeding was held before United States District Judge Joanna Seybert.  When sentenced, Hoberman faces a minimum sentence of five years’ imprisonment, and up to 20 years in prison.

Joseph Nocella, Jr., United States Attorney for the Eastern District of New York; Michael Alfonso, Acting Special Agent in Charge, Homeland Security Investigations, New York (HSI); and Patrick Ryder, Commissioner, Nassau County Police Department, announced the guilty plea.

“The defendant, a licensed social worker, admitted to distributing extremely vile and unthinkable videos depicting the horrific sexual abuse of babies.  The videos the defendant distributed and sought for her own perverse pleasure showed the most innocent members of our society being restrained and violently raped,” stated United States Attorney Nocella.  “The defendant’s crimes should outrage and offend every decent member of our society. My Office will relentlessly pursue predators like this defendant who victimize those who often cannot speak for themselves.  We will work tirelessly to ensure that those who harm children and perpetuate the plague of child sexual abuse and child pornography are held accountable to the fullest extent of the law.”

Mr. Nocella expressed his appreciation to HSI and the Nassau County Police Department for their work on the case.

As set forth in court filings and on the record at today’s plea proceeding, Hoberman admitted to using encrypted social media messaging applications to upload, receive, and trade digital videos and images depicting minors engaging in sexually explicit conduct, including several videos of infants six months to one year of age being physically restrained and raped by an adult male as the infants cried and frantically screamed for the duration of the videos.  The defendant also engaged in multiple online “chats” concerning child sexual molestation. In these chats, the defendant, posing as the father of several minor children, claimed to have sex with the children and punish them by getting naked, stripping the children naked, and spanking them while the other children watched.  The defendant invited another user to visit “his” family in New York to spank and sexually abuse the children.  In addition, the defendant described sexually abusing “his” children and their friends, and then uploaded and sent two videos containing child sexual abuse material, claiming that these videos depicted the defendant’s own children.

According to public records and as alleged in court documents, during the same time period that Hoberman was distributing child sexual abuse material online, she was also working as a therapist with an organization based in Melville, New York, which serves children up to the age of 17. 

This prosecution is part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse.  Led by United States Attorneys’ Offices, Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend, and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims.  For more information about Project Safe Childhood, please visit https://www.justice.gov/psc.

Anyone with information about sexual exploitation by the defendant is asked to contact HSI’s tip line: 1-877-4-HSI-TIP or website: https://www.ice.gov/webform/ice-tip-form.

The government’s case is being handled by the Criminal Section of the Office’s Long Island Division.  Assistant United States  Attorney Kaitlin McTague is in charge of the prosecution, with assistance from Paralegal Specialist Janelle Robinson.

The Defendant:

RENEE HOBERMAN (also known as “Rina”)
Age:  37
Plainview, Long Island

E.D.N.Y. Docket No. 24-CR-463 (JS)

Earlier today in federal court in Brooklyn, an indictment was unsealed charging eight members and associates of the 18th Street gang, a violent transnational criminal organization, with serious crimes.  Six defendants are charged with racketeering conspiracy, including predicate acts involving narcotics and firearms trafficking, production and sale of fraudulent identification documents, and extortion. Seven defendants are also charged with assaults in aid of racketeering.  One defendant is charged with being an alien in possession of a 9mm semiautomatic pistol and ammunition. 

Seven defendants were taken into custody in New York City and are scheduled to be arraigned this afternoon before United States Magistrate Judge Cheryl M. Pollak.  Another defendant, currently in custody on separate criminal charges, is expected to be arraigned tomorrow. 

Joseph Nocella, Jr., United States Attorney for the Eastern District of New York; Christopher G. Raia, Assistant Director in Charge, Federal Bureau of Investigation, New York Field Office (FBI); Jessica S. Tisch, Commissioner, New York City Police Department (NYPD); and Melinda Katz, Queens District Attorney, announced the arrests and charges.

“This indictment represents a significant step in our ongoing effort to dismantle violent gang networks in our communities,” stated United States Attorney Nocella.  “The 18th Street gang exploited a Queens neighborhood as a hub for violence and illicit activity.  Today’s arrests show the community that my Office and our law enforcement partners are working tirelessly to put these violent criminals behind bars.”

Mr. Nocella expressed his appreciation to the Queens County District Attorney’s Office, the FBI New York Metro Safe Streets Task Force, the Department of Labor Office of the Inspector General – New York Office, the United States Secret Service, and the Department of Homeland Security, U.S. Immigration and Customs Enforcement, Enforcement and Removal Operations, New York City Field Office, for their invaluable assistance with the case.

“These violent members and associates of the 18th Street gang allegedly relied on violence—including assault of innocent civilians and rival gang members—to exert and maintain control over a busy commercial corridor along Roosevelt Avenue in Jackson Heights, Queens. Those arrested today acted and behaved with callous and cruel disregard for those around them. Our actions today represent yet another example of the FBI’s commitment to crushing the violent transnational gangs plaguing our communities,” stated FBI Assistant Director in Charge Raia.

“The defendants in this case are accused of unleashing terror onto Queens communities through brutal assaults, extortion, fraud, and drug trafficking—all in furtherance of the 18th Street gang’s agenda. Every resident deserves to feel safe walking down the street, without having to worry about gang violence. My office will continue to combat violent criminal enterprises and assist partner investigations to dismantle gangs as they try to establish themselves in our neighborhoods, stated Queens District Attorney Katz.  “We thank the U.S. Attorney for the Eastern District of New York, the FBI and the NYPD for their hard work in this case.”

As alleged in the indictment and other court filings, the 18th Street gang is a violent transnational criminal organization with members and associates throughout the United States and Central America.  The gang is divided into several “cliques.”  The defendants are members and associates of the “54 Tiny Locos” clique, which controls a busy commercial corridor along Roosevelt Avenue in Jackson Heights, Queens. For years, 18th Street has maintained control over this area through violence, including assaults on perceived rival gang members that often result in harm to innocent civilians.  The gang financed its operations through drug-dealing and various other crimes, including trafficking in fraudulent identification documents and counterfeit currency.  The gang’s production and sale of fraudulent documents—including fake passports, permanent resident cards, Social Security cards, driver’s licenses, and Occupational Safety and Health Administration (OSHA) cards—was a primary driver of income for its members and associates.  Members of 18th Street, including the defendants, also committed extortion by charging “rent” to other illicit businesses operating in the area, including unregulated brothels. 

Certain of the defendants are also charged in connection with three assaults in-aid-of racketeering in Queens, New York, that wounded four individuals.

The December 2021 Assault

As alleged, on December 31, 2021, members of 18th Street, including Bonilla Ramos, Ramirez, and a co-conspirator, assaulted two victims, including John Doe #1, outside of a bar in Queens, New York, after asking if they were in a gang.  The defendants violently beat both John Doe #1 and his friend, including twice smashing John Doe #1’s head with a glass bottle of tequila, leaving him with severe lacerations to his face and nerve damage.

The January 2022 Assault

As alleged, on January 15, 2022, members of 18th Street attacked two victims, John Doe #2 and John Doe #3, outside a bar in Queens, New York. A co-conspirator stabbed John Doe #2 while two other defendants held him in place.  John Doe #2 sustained serious injuries, including injuries to his lung. The defendants then attacked a second victim, John Doe #3, with large wooden planks, causing lacerations that required sutures.  The serious injuries to John Doe #2, the victim who was stabbed, were reflected in the blood left behind after the assault.

The June 2024 Assault

As alleged, on June 20, 2024, members of 18th Street attacked a victim, John Doe #4, who they believed was a rival gang member, in a parking lot in Queens, New York.  The assailants, including certain of the defendants, beat John Doe #4 with a bike lock and a metal chair, among other things.  John Doe #4 received medical care for lacerations to his head, which required sutures. 

The charges announced today are allegations, and the defendants are presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.

The case is part of Operation Take Back America, a Department of Justice initiative aimed at eradicating transnational criminal organizations, combating violent crime, and restoring the rule of law.

This prosecution also is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) operation.  OCDETF targets the highest-level criminal organizations threatening the U.S., using a prosecutor-led, intelligence-driven, multi-agency approach.  More info is available here: www.justice.gov/OCDETF.

The government’s case is being handled by the Office’s Organized Crime and Gang Section.  Assistant United States Attorneys Lauren A. Bowman, Andy Palacio, and Kamil R. Ammari are in charge of the prosecution.

The Defendants:

FELIX BONILLA RAMOS (also known as “Chabelo” and “Ferras”)
Age: 36
Corona, New York

URIEL LOPEZ (also known as “Tanke”)
Age: 30
Jackson Heights, New York

REFUGIO MARTINEZ (also known as “Cuco”)
Age: 32
Elmhurst, New York

MARGARITO ORTEGA (also known as “Pinocchio”)
Age: 38
Elmhurst, New York

ORLANDO RAMIREZ (also known as “Niñote”)
Age: 24
Elmhurst, New York

GERMAN RODRIGUEZ (also known as “Loco”)
Age: 34
Woodhaven, New York

DAVID VASQUEZ CORONA (also known as “Teba”)
Age: 29
Elmhurst, New York

MARCO VIDAL MENDEZ (also known as “Matute”)
Age: 36
Formerly of Elmhurst, New York

E.D.N.Y. Docket No. 25-CR-196

Earlier today, in federal court in Brooklyn, Pedro Serrano, also known as “Papo,” the leader of the Ozone Park (or “OZP”) set of the Trinitarios street gang, was sentenced by United States District Judge Eric N. Vitaliano to 183 months in prison for carrying out a June 29, 2021 shooting that injured three victims.  The shooting was part of a long-running conspiracy to murder members of a rival Trinitarios gang set.  Serrano pleaded guilty in March 2024 to assault in-aid-of racketeering and discharging a firearm during a crime of violence.

Joseph Nocella, Jr., United States Attorney for the Eastern District of New York, and Christopher G. Raia, Assistant Director in Charge, Federal Bureau of Investigation, New York Field Office (FBI), announced the sentence.

“Serrano was ruthlessly committed to a dangerous criminal enterprise, and he and his co-conspirators shot multiple victims in furtherance of a senseless gang rivalry to advance his enterprise,” stated United States Attorney Nocella.  “Such warfare jeopardizes public safety and underscores the importance of my Office’s mission to eradicate violent gangs from our communities.”

"Pedro Serrano, a leader of a Trinitarios sect, waged a reckless shootout, targeting, and injuring rivals to bolster his gang’s hierarchical status," stated FBI Assistant Director in Charge Raia.  "His actions not only jeopardized the safety of a residential community, but also perpetuated the gang’s years-long territorial feud.  May today’s sentencing reflect the FBI’s dedication to crushing any gang violence that threatens our city."

Mr. Nocella expressed his appreciation to the New York City Police Department for their work and assistance on the case.

According to court filings, Serrano, along with other members of the gang, engaged in a series of violent feuds with rivals, including rival sets within the Trinitarios.  Beginning in at least 2021, disputes arose between OZP and other sets of Trinitarios from Queens and Brooklyn, including the Southside set, resulting in back-and-forth shootings between sets.  On June 29, 2021, Serrano carried out a retaliatory shooting—while driving through a residential neighborhood in Queens—targeting Southside members.

Serrano enlisted fellow OZP members—including co-defendant Albert Santana-Fernandez, also known as “Pipa,” a Pennsylvania-based member of OZP—to help attack OZP rivals.  After departing from Serrano’s house, the co-conspirators drove around until they located a rival group of Trinitarios on 77th Street near Jamaica Avenue near the Queens-Brooklyn border.  Serrano and Santana-Fernandez were armed with firearms and after locating their rivals, fired shots at them from their moving vehicle.  At least 13 shell casings were recovered at the scene, and three victims were wounded—one of whom sustained a gunshot wound to the back of his head. Santana-Fernandez pleaded guilty to his role in the shooting in October 2024 and is awaiting sentencing.

The government’s case is being handled by the Office’s Organized Crime and Gangs Section. Assistant United States  Attorneys Lindsey R. Oken and Benjamin Weintraub are in charge of the prosecution.

The Defendants:

PEDRO SERRANO (also known as “Papo”)
Age: 24
Brooklyn, NY

ALBERT SANTANA-FERNANDEZ (also known as “Pipa”)
Age: 27
Philadelphia, PA

E.D.N.Y. Docket No. 23-CR-28 (ENV)

Earlier today in federal court in Brooklyn, a criminal complaint was unsealed charging Dao Yin, a Queens resident and former 2024 New York State Assembly candidate, with wire fraud in connection with his scheme to defraud New York State’s public campaign finance system by reporting false campaign contributions—including forged signatures of purported contributors—to secure matching funds.  Yin was arrested today and is scheduled to be arraigned this afternoon before United States Magistrate Judge Vera M. Scanlon.

Joseph Nocella, Jr., United States Attorney for the Eastern District of New York; Matthew R. Galeotti, Head of the Justice Department’s Criminal Division; Christopher G. Raia, Assistant Director in Charge, New York Field Office (FBI); and Jocelyn E. Strauber, Commissioner, New York City Department of Investigation, announced the charges.

 “As alleged, the defendant, a former candidate for public office, submitted forged campaign contribution cards from members of the very community he hoped to represent, to fraudulently obtain thousands of dollars in public matching funds that he was not entitled to receive,” stated United States Attorney Nocella.  “Today’s arrest demonstrates that this Office will protect the integrity of elections and pursue candidates for elected office who violate campaign finance laws.”

Mr. Nocella expressed his appreciation to the New York State Public Campaign Finance Board (PCFB) for its assistance.

“Through lies and deceit, the defendant allegedly stole over $160,000 in taxpayer dollars to fund his campaign for elected office,” stated Matthew R. Galeotti, Head of the Department of Justice’s Criminal Division.  “Fraud and public corruption threaten the integrity of our elections and will not be tolerated.  The Criminal Division remains committed to aggressively prosecuting frauds that undermine U.S. interests and waste public funds.”

 “Dao Yin allegedly fabricated support to be unlawfully awarded more than $150,000 to further his election campaign. Yin also allegedly abused his position to defraud a matching funds program that could have been used to support other candidates for state office. The FBI remains committed to investigating any individual who implements deceitful tactics to find a seat in public office,” stated FBI Assistant Director in Charge Raia.

“As charged, this former candidate for the New York State Assembly manipulated the campaign finance system through fraudulent campaign contributions in order to claim matching funds that he was not eligible to receive,” stated DOI Commissioner Strauber.  “DOI and our law enforcement partners in the United States Attorney’s Office for the Eastern District of New York and the FBI remain committed to protecting the integrity of the campaign finance system and public dollars.”

The New York State Public Campaign Finance Program

The PCFB oversees and administers the New York State Public Campaign Finance Program (the Program), which provides candidates running for statewide or state legislative office the ability to qualify for and receive public matching funds based on small donations from residents in applicable districts.

To participate in the Program, a candidate must register an authorized committee with the PCFB, be in a covered election for a covered office, meet threshold requirements for the number of matchable contributions received, and total monetary contributions received, and adhere to all other program requirements such as making periodic disclosures to the PCFB.  Contributions between $5 and $250 are generally eligible for public matching funds provided they meet certain criteria.  For a State Assembly race, the candidate generally must have raised a minimum of $6,000 in matchable contributions and have a minimum of 75 matchable donations. For cash contributions to qualify for matching funds, the candidate’s authorized committee is required to submit contribution cards that, among other information, list each contributor’s name, residential address, and date of contribution.  The contribution card also must be signed by the contributor.

The Fraudulent Scheme

As alleged in the complaint, the defendant registered his campaign committee, Dao Yin for New York 2024 (the Committee), with the PCFB so that it could receive funds through the Program.  The defendant served as the treasurer of the Committee.

To qualify for public matching funds, the defendant submitted fraudulent contribution cards through the Committee to the PCFB that listed the names and purported to bear the signatures of individuals he falsely claimed had donated to the Committee.  By doing so, the defendant obtained approximately $162,800 in public matching funds from the Program.

The charges in the complaint are allegations, and the defendant is presumed innocent unless and until proven guilty. If convicted of all charges, the defendant faces a maximum sentence of 20 years’ imprisonment.

The government’s case is being handled by the Office’s Public Integrity Section and the Public Integrity Section of the Justice Department’s Criminal Division.  Assistant United States Attorneys Andrew D. Grubin and Rebecca Schuman, along with Trial Attorney Lina Peng, are in charge of the prosecution with assistance from Paralegal Specialist Daniel Arakawa.

The Defendant:

DAO YIN
Age:  62
Flushing, NY

E.D.N.Y. Docket No. 25-MJ-208

Earlier today, in federal court in Central Islip, Adnan Arshad, also known as “Eddie,” pleaded guilty to conspiracy to commit healthcare fraud and conspiracy to commit money laundering in connection with a scheme to steal approximately $20 million from Medicaid.  The proceeding was held before United States Magistrate Judge Anne Y. Shields.  When sentenced, Arshad faces up to 20 years’ imprisonment, restitution of at least $16 million, and forfeiture of over $19 million, including several real properties and vehicles.

Joseph Nocella, Jr., United States Attorney for the Eastern District of New York; Naomi Gruchacz, Special Agent in Charge, U.S. Department of Health and Human Services, Office of Inspector General (HHS-OIG); Harry T. Chavis, Jr., Special Agent in Charge, Internal Revenue Service Criminal Investigation, New York, (IRS-CI); and Raymond A. Tierney, Suffolk County District Attorney, announced the guilty plea.

“The defendant was the leader of a massive fraud scheme in which he and his co-conspirators bilked Medicaid out of millions of dollars of government and taxpayer funds intended to help the needy and infirm,” stated United States Attorney Nocella.  “With his guilty plea today, the defendant admitted that he abused our health care system for his own enrichment.  Arshad lived large on his illicit profits—buying expensive homes and driving luxury vehicles—but today’s guilty plea demonstrates there is a steep price for his fraudulent scheme.”

Mr. Nocella also thanked the Office of the New York State Comptroller and the Medicaid Fraud Control Unit of the New York State Attorney General's Office for their assistance in the case.

“For self-serving purposes, the defendant in this case egregiously diverted crucial Medicaid funds,” stated HHS-OIG Special Agent in Charge Gruchacz.  “HHS-OIG will continue to work with our law enforcement partners to ensure the integrity of federally funded health care programs which relies, in part, on providers billing only for services they actually provide.”

“While Mr. Arshad should have been transporting medical patients as designed, the only people he took for a ride were the American taxpayers.  Nearly $20 million was misappropriated by Mr. Arshad and his partners, who used his ambulette service as a backdrop for fraud and deceit - exploiting the Medicaid program and pocketing the illicit gains.  With today’s plea, Mr. Arshad will need to give up his life of extravagance funded by tax dollars to face prison time, which is far less luxurious,” stated IRS-CI New York Special Agent in Charge Chavis.”

“Today's conviction represents a significant step forward in our ongoing efforts to protect taxpayer-funded healthcare programs from fraudulent schemes," stated District Attorney Tierney.  “Healthcare fraud not only diverts critical resources from those who need them most, but it also undermines public trust in these essential programs.  My office will continue to work with our state and federal partners to investigate and prosecute those who would defraud Medicaid and other public healthcare systems.”

As set forth in court filings and facts presented during the plea hearing, Arshad was the owner of MTK Taxi LLC in Montauk, Long Island, and part owner of All-Star Taxi LLC, in Ronkonkoma, Long Island.  From approximately December 2020 to his arrest in June 2024, Arshad and his co-conspirators paid illegal health care kickbacks to Medicaid beneficiaries for fraudulent ambulette services.  Pursuant to the scheme, the beneficiaries would order medical transportation services specifically from Arshad and his co-conspirators, including for transportation to addiction treatment centers for the beneficiaries’ purportedly necessary methadone treatment.  In reality, Arshad’s businesses generally did not provide the medical transportation services ordered by the Medicaid beneficiaries.  At least two claims were submitted to Medicaid for individuals who were deceased, and some claims were submitted for individuals who were hospitalized or incarcerated.  In total, Arshad and his co-conspirators fraudulently billed Medicaid millions of dollars for these non-existent services throughout the course of the scheme. 

Arshad and his co-conspirators also submitted artificially inflated claims to Medicaid.  Although there were numerous addiction treatment centers on Long Island the beneficiaries could have utilized, Arshad and his co-conspirators instructed them to order rides to addiction treatment centers in New York City and to list false addresses so they could obtain higher reimbursement rates from Medicaid for longer rides.  The transportation companies owned or operated by Arshad and his co-conspirators billed Medicaid over $16 million for trips to three addiction treatment centers in New York City.

Arshad used the illicit proceeds to purchase several additional transport vehicles for use in the scheme and to purchase multimillion-dollar homes and luxury vehicles, including a Ferrari, BMWs, and multiple Mercedes.

Five co-conspirators previously pleaded guilty to their participation in the scheme and are awaiting sentencing.

The government’s case is being prosecuted by the Criminal Section of the Office’s Long Island Division.  Assistant United States Attorney Adam Toporovsky and Special Assistant United States Attorney Jennifer Milito of the Suffolk County District Attorney’s Office are in charge of the prosecution, with the assistance of Paralegal Specialist Janelle Robinson.  Assistant United States Attorney Tanisha Payne of the Office’s Asset Recovery Section is handling forfeiture matters.

The Defendant:

ADNAN ARSHAD (also known as “Eddie”)
Age:  46
Mount Sinai, New York

E.D.N.Y. Docket No. 24-CR-231 (JMA)

Earlier today, in federal court in Brooklyn, a federal jury convicted Nicole Daedone, the founder and former Chief Executive Officer of OneTaste, Inc. (OneTaste), a sexual wellness education company, and Rachel Cherwitz, the company’s former head of sales, of forced labor conspiracy in connection with their coercive scheme to obtain the labor and services of certain OneTaste employees.  To achieve their goal, the defendants and their co-conspirators subjected the victims to economic, sexual, emotional, financial, and psychological abuse, as well as surveillance, indoctrination, and intimidation.  The verdict was returned after a five-week trial before United States District Judge Diane Gujarati.  When sentenced, Daedone and Cherwitz each face up to 20 years in prison.

Joseph Nocella, Jr., United States Attorney for the Eastern District of New York and Christopher G. Raia, Assistant Director in Charge, Federal Bureau of Investigation, New York Field Office (FBI), announced the verdict.

“The jury’s verdict has unmasked Daedone and Cherwitz for who they truly are: grifters who preyed on vulnerable victims by making empty promises of sexual empowerment and wellness only to manipulate them into performing labor and services for the defendants’ benefit,” stated United States Attorney Nocella.  “I commend the witnesses who testified at trial notwithstanding the trauma that they experienced at the defendants’ direction.  It is my hope that the just conclusion of this process will bring them closure, and that future charlatans think twice about exploiting human beings in this manner.”

“Today's verdict sends a clear message— controlling your labor force by relying on lies, manipulation, and abuse is a crime. The victims in this case were offered sexual empowerment and wellness as a pathway to healing past trauma, but instead received various forms of abuse and manipulation on behalf of Daedone and Cherwitz for the financial benefit of OneTaste. The FBI will continue to ensure those responsible for forced labor schemes are made to answer for their crimes,” stated FBI Assistant Director in Charge Raia.

OneTaste was a privately held company founded by Daedone in 2004.  Its principal place of business was San Francisco, California, and it operated at various locations within New York, Los Angeles, Denver, Austin, and London.  OneTaste promoted itself as a sexually focused wellness education company that offered hands-on classes on “orgasmic mediation” (OM), which involved stroking a woman’s genitals for 15 minutes.  OneTaste generated revenue by providing courses, coaching, OM events, and less-publicized courses in other sexual practices in exchange for a fee.  

As proven at trial, between 2006 and May 2018, Daedone and Cherwitz obtained the labor and services of multiple young women who had turned to OneTaste for healing and spirituality by coercing them to perform labor, including sexual labor, for the defendants’ benefit.  OneTaste advertised that its courses and teachings could heal past sexual trauma and dysfunction.  Daedone and Cherwitz used abusive and manipulative tactics designed to control OneTaste members by making them emotionally and psychologically dependent on OneTaste, including encouraging them to incur debt by opening lines of credit to finance the expensive courses, subjecting them to constant surveillance in communal homes, collecting sensitive information about their prior trauma and sexual histories, depriving them of sleep, and subjecting them to sexual abuse.

Once they had secured the loyalty and indebtedness of certain OneTaste members, Daedone and Cherwitz engaged in abusive employment practices.  They directed OneTaste members to work long hours seven days per week with little or no compensation; that work included manual labor and the provision of sexual services.  For example, Daedone and Cherwitz coerced their victims to sexually service OneTaste’s current and prospective investors, clients and employees for the financial benefit of the company.  Three witnesses testified about how they were coerced into becoming a “handler” for OneTaste’s initial investor, who was also Daedone’s boyfriend, which required them to live with him, perform demeaning sex acts at his direction, and cook for him.  Multiple other witnesses testified that they were coerced under threat of termination, demotion, ostracism, and financial and spiritual ruin by Daedone and Cherwitz into performing various sex acts with OneTaste’s potential clients and investors. In 2017, Ms. Daedone sold OneTaste—a company built on the backs of coerced and unpaid or substantially underpaid labor—for $12 million.

The government’s case is being handled by the Office’s Human Trafficking and Civil Rights Section.  Assistant United States Attorneys Kayla C. Bensing, Kaitlin T. Farrell, Nina C. Gupta, and Sean Michael Fern are in charge of the prosecution with assistance from Paralegal Specialists Liam McNett and Marlane Bosler.

The Defendants:

NICOLE DAEDONE
Age:  57
New York, New York

RACHEL CHERWITZ
Age:  44
Philo, California

BROOKLYN, NY – Earlier today, at the federal courthouse in Brooklyn, a 22-count indictment was unsealed charging Iurii Gugnin with wire and bank fraud, conspiracy to defraud the United States, violation of the International Emergency Economic Powers Act (IEEPA), operating an unlicensed money transmitting business, failing to implement an effective anti-money laundering compliance program, failing to file suspicious activity reports, money laundering, and related conspiracy charges.  Gugnin, a resident of New York and citizen of Russia, allegedly used his cryptocurrency company “Evita” to funnel more than $500 million of overseas payments through U.S. banks and cryptocurrency exchanges while hiding the source and purpose of the transactions.  Gugnin was arrested this morning and arraigned before United States Magistrate Judge Taryn A. Merkl.  The defendant was ordered detained pending trial.

Joseph Nocella, Jr., United States Attorney for the Eastern District of New York; John A. Eisenberg, Assistant Attorney General, the Justice Department’s National Security Division; Christopher G. Raia, Assistant Director in Charge, Federal Bureau of Investigation, New York Field Office (FBI); Harry Chavis, Acting Special Agent in Charge, Internal Revenue Service-Criminal Investigation, New York (IRS-CI); and Jonathan Carson, Special Agent in Charge, U.S. Department of Commerce, Bureau of Industry and Security, Office of Export Enforcement, New York Field Office (BIS-OEE) announced the arrest and charges.

“As alleged, Gugnin came to the United States and set up a money laundering operation under the guise of a cryptocurrency start-up, which he then used to evade sanctions and export controls and defraud U.S. financial institutions,” stated United States Attorney Nocella.  “Today’s arrest demonstrates that this Office will vigorously prosecute those who abuse the U.S. financial system in furtherance of criminal activity, particularly when it undermines national security.”

Mr. Nocella also expressed his appreciation to the Justice Department’s Money Laundering and Asset Recovery Section for their assistance with the investigation.

“The defendant is charged with turning a cryptocurrency company into a covert pipeline for dirty money, moving over half a billion dollars through the U.S. financial system to aid sanctioned Russian banks and help Russian end-users acquire sensitive U.S. technology,” stated Assistant Attorney General Eisenberg.  “The Department of Justice will not hesitate to bring to justice those who imperil our national security by enabling our foreign adversaries to sidestep sanctions and export controls.”

“Iurii Gugnin, a Russian national, allegedly served as a financial intermediary to sanctioned Russian entities by covertly laundering more than $500 million in illicit transactions through U.S.-based accounts and cryptocurrency exchanges,” stated FBI New York Assistant Director in Charge Raia.  “Gugnin’s alleged scheme manipulated our nation’s financial infrastructure to benefit our nation's adversaries. The FBI remains committed to apprehending any individual who seeks to circumvent export controls, defraud our country, and jeopardize our national security.”

“It’s alleged Gugnin used deception and fraud to cover up a financial trail that showed him moving more that $500 million through U.S. banks on behalf of foreign clients.  He supposedly evaded U.S. sanctions, lied to banks and cryptocurrency exchanges, manipulated invoices to hide Russian contacts, and violated the Bank Secrecy Act – all while leaving an internet search trail to show he knew he was breaking the law.  Through a complex investigation conducted by federal law enforcement, Gugnin now faces prosecution for this multi-million-dollar scheme and its impending consequences,” stated IRS-CI Special Agent in Charge Chavis.

“Export control violations are often intertwined with a range of serious criminal activities, including illicit finance and transnational organized crime. The Office of Export Enforcement remains committed to working alongside our law enforcement partners to hold accountable those who compromise our national security by violating U.S. export laws,” stated Special Agent in Charge Carson.”

As alleged in the indictment, Gugnin is the founder, President, Treasurer, and Compliance Officer of U.S-based Evita Investments, Inc. (Evita Investments) and Evita Pay, Inc. (Evita Pay) (collectively, Evita).  Gugnin used both companies to enable foreign customers—many of whom held funds at sanctioned Russian banks—to provide him with cryptocurrency, which he then laundered through cryptocurrency wallets and U.S. bank accounts.  Gugnin ultimately converted the funds into U.S. dollars or other fiat currencies and then made payments through bank accounts in Manhattan on behalf of his foreign customers.  In the process, the sources of the funds were obscured, disguising the audit trail and hiding the true counterparties to the transactions.  Between June 2023 and January 2025, Gugnin used Evita to facilitate the movement of approximately $530 million through the U.S. financial system, most of which he received in the form of a cryptocurrency stablecoin known as Tether, or “USDT.” 

To effectuate the scheme, Gugnin defrauded various banks and cryptocurrency exchanges through which he converted funds and made wire transfers.  Gugnin repeatedly lied to these banks and exchanges, telling them that Evita did not conduct business with entities in Russia and did not deal with sanctioned entities.  In fact, many of Gugnin’s customers were located in Russia, and he facilitated payments in funds held at sanctioned Russian banks, including PJSC Sberbank, PJSC Sovcombank, PJSC VTB Bank, and JSC Tinkoff Bank.  Gugnin maintained personal accounts at two sanctioned Russian banks, JSC Alfa-Bank and PJSC Sberbank, with which he transacted while residing in the United States.  Gugnin also facilitated payments by foreign customers to procure sensitive electronics, including an export-controlled server designed by a U.S. technology company, and laundered funds from a Moscow-based supplier to purchase parts for Rosatom, Russia’s state-owned nuclear technology company.  To conceal his activities, Gugnin regularly obfuscated invoices by digitally “whiting out” the names and addresses of his Russian customers. 

Gugnin also failed to implement Evita’s own purported anti-money laundering program and failed to file suspicious activity reports, as required under the Bank Secrecy Act.  Although Gugnin represented to banks and cryptocurrency exchanges that Evita followed rigorous anti-money laundering and know-your-customer requirements, in practice he flouted those requirements, as well as the requirement to file reports of suspicious activities with the Financial Crimes Enforcement Network (FinCEN).  Gugnin ultimately registered Evita Pay as a money transmitter with FinCEN and the state of Florida but did so by making materially false statements to the state of Florida about Evita Pay’s business.  Gugnin used that fraudulently obtained state license to induce a cryptocurrency exchange to process transactions on his behalf. 

In the course of his scheme, Gugnin conducted web searches that confirmed his awareness that he was breaking the law, including searches for “how to know if there is an investigation against you”; “evita investments inc. criminal records search”; “Iurii Gugnin criminal records”; “money laundering penalties US”; and “penalties for sanctions violations EU luxury goods.”  He also visited website pages titled, respectively “am I being investigated?”; “signs you may be under criminal investigation”; and “what are the best ways to find out if you’re being investigated and what can someone do when they think they might be under investigation.”

The charges in the indictment are allegations, and the defendant is presumed innocent unless and until proven guilty.

If convicted, Gugnin faces up to 30 years’ imprisonment on the bank fraud counts; 20 years’ imprisonment for the wire fraud, IEEPA, money laundering, and related conspiracy counts; 10 years’ imprisonment for failure to implement an effective anti-money laundering program and failure to file suspicious activity reports; and 5 years’ imprisonment for conspiracy to defraud the United States and operation of an unlicensed money transmitting business.

Today’s actions were coordinated through the Justice and Commerce Departments’ Disruptive Technology Strike Force.  The Disruptive Technology Strike Force is an interagency law enforcement strike force co-led by the Departments of Justice and Commerce designed to target illicit actors, protect supply chains, and prevent critical technology from being acquired by authoritarian regimes and hostile nation states.

The government’s case is being handled by the Office’s National Security and Cybercrime Section.  Assistant United States Attorney Matthew Skurnik is in charge of the prosecution, with assistance from paralegal specialist Emma Tavangari, along with Trial Attorney Dallas Kaplan of the National Security Division’s Counterintelligence and Export Control Section.  Assistant United States Attorney Laura Mantell of the Office’s Asset Recovery Section is handling forfeiture matters.

The Defendant:

IURII GUGNIN (also known as “Iurii Mashukov” and “George Goognin”)
Age:  38
New York, New York

E.D.N.Y. Docket No. 25-CR-191 (NRM)

A 22-count indictment was unsealed today charging Iurii Gugnin, also known as Iurii Mashukov and George Goognin, 38, a resident of New York and citizen of Russia, with various offenses related to using his cryptocurrency company Evita to funnel more than $500 million of overseas payments through U.S. banks and cryptocurrency exchanges while hiding the source and purpose of the transactions.

According to court documents, Gugnin is charged with wire and bank fraud, conspiracy to defraud the United States, violation of the International Emergency Economic Powers Act (IEEPA), operating an unlicensed money transmitting business, failing to implement an effective anti-money laundering compliance program, failing to file suspicious activity reports, money laundering, and related conspiracy charges. Gugnin was arrested and arraigned today in New York.

“The defendant is charged with turning a cryptocurrency company into a covert pipeline for dirty money, moving over half a billion dollars through the U.S. financial system to aid sanctioned Russian banks and help Russian end-users acquire sensitive U.S. technology,” said John A. Eisenberg, Assistant Attorney General for National Security. “The Department of Justice will not hesitate to bring to justice those who imperil our national security by enabling our foreign adversaries to sidestep sanctions and export controls.”

“As alleged, Gugnin came to the United States and set up a money laundering operation under the guise of a cryptocurrency start-up, which he then used to evade sanctions and export controls and defraud U.S. financial institutions,” said U.S. Attorney Joseph Nocella Jr. for the Eastern District of New York. “Today’s arrest demonstrates that this Office will vigorously prosecute those who abuse the U.S. financial system in furtherance of criminal activity, particularly when it undermines national security.”

“Gugnin’s cryptocurrency company allegedly served as a front to launder hundreds of millions of dollars for sanctioned Russian entities and to obtain export-controlled technology for the Russian government,” said Assistant Director Roman Rozhavsky of the FBI’s Counterintelligence Division. “Let this serve notice that using cryptocurrency to hide illegal conduct will not prevent the FBI and our partners from holding you accountable.”

As alleged in the indictment, Gugnin is the founder, President, Treasurer, and Compliance Officer of U.S-based Evita Investments Inc. (Evita Investments) and Evita Pay Inc. (Evita Pay) (collectively, Evita). Gugnin used both companies to enable foreign customers — many of whom held funds at sanctioned Russian banks — to provide him with cryptocurrency, which he then laundered through cryptocurrency wallets and U.S. bank accounts. Gugnin ultimately converted the funds into U.S. dollars or other fiat currencies and then made payments through bank accounts in Manhattan on behalf of his foreign customers. In the process, the sources of the funds were obscured, disguising the audit trail and hiding the true counterparties to the transactions. Between June 2023 and January 2025, Gugnin used Evita to facilitate the movement of approximately $530 million through the U.S. financial system, most of which he received in the form of a cryptocurrency stablecoin known as Tether, or “USDT.”

To effectuate the scheme, Gugnin defrauded various banks and cryptocurrency exchanges through which he converted funds and made wire transfers. Gugnin repeatedly lied to these banks and exchanges, telling them that Evita did not conduct business with entities in Russia and did not deal with sanctioned entities. In fact, many of Gugnin’s customers were located in Russia, and he facilitated payments in funds held at sanctioned Russian banks, including PJSC Sberbank, PJSC Sovcombank, PJSC VTB Bank, and JSC Tinkoff Bank. Gugnin maintained personal accounts at two sanctioned Russian banks, JSC Alfa-Bank and PJSC Sberbank, with which he transacted while residing in the United States. Gugnin also facilitated payments by foreign customers to procure sensitive electronics, including an export-controlled server designed by a U.S. technology company, and laundered funds from a Moscow-based supplier to purchase parts for Rosatom, Russia’s state-owned nuclear technology company. To conceal his activities, Gugnin regularly obfuscated invoices by digitally “whiting out” the names and addresses of his Russian customers.

Gugnin also failed to implement Evita’s own purported anti-money laundering program and failed to file suspicious activity reports, as required under the Bank Secrecy Act. Although Gugnin represented to banks and cryptocurrency exchanges that Evita followed rigorous anti-money laundering and know-your-customer requirements, in practice he flouted those requirements, as well as the requirement to file reports of suspicious activities with the Financial Crimes Enforcement Network (FinCEN). Gugnin ultimately registered Evita Pay as a money transmitter with FinCEN and the state of Florida but did so by making materially false statements to the state of Florida about Evita Pay’s business. Gugnin used that fraudulently obtained state license to induce a cryptocurrency exchange to process transactions on his behalf.

In the course of his scheme, Gugnin conducted web searches that confirmed his awareness that he was breaking the law, including searches for “how to know if there is an investigation against you”; “evita investments inc. criminal records search”; “Iurii Gugnin criminal records”; “money laundering penalties US”; and “penalties for sanctions violations EU luxury goods.” He also visited website pages titled, respectively “am I being investigated?”; “signs you may be under criminal investigation”; and “what are the best ways to find out if you’re being investigated and what can someone do when they think they might be under investigation.”

If convicted, Gugnin faces a maximum penalty of 30 years in prison for each count of bank fraud; a maximum penalty of 20 years in prison for each of the wire fraud, IEEPA, money laundering, and related conspiracy counts; a maximum penalty of 10 years in prison for failure to implement an effective anti-money laundering program and failure to file suspicious activity reports; and a maximum penalty of five years in prison for conspiracy to defraud the United States and operating an unlicensed money transmitting business.

Assistant U.S. Attorney Matthew Skurnik for the Eastern District of New York and Trial Attorney Dallas Kaplan of the National Security Division’s Counterintelligence and Export Control Section are prosecuting the case. Assistant U.S. Attorney Laura Mantell for the Eastern District of New York’s Asset Recovery Section is handling forfeiture matters.

An indictment is merely an allegation. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.

Omari Scott, also known as “Prince” and “Sir Prince,” was convicted by a federal jury today of murder in the course of sex trafficking and the sex trafficking of Jane Doe 2.  Prior to trial, on May 16, 2025, the defendant pleaded guilty to two counts of the indictment, charging him with promoting prostitution and sex trafficking of Jane Doe 1. The charges relate to Scott’s trafficking of women at an open-air sex market along a stretch of Pennsylvania Avenue in Brooklyn known as the “Penn Track.”  As proven at trial, Scott orchestrated and participated in the May 1, 2023 murder of rival pimp, Cleveland Clay, after a dispute over the control of a trafficking victim.  The verdict followed a two-week trial before United States District Judge Kiyo A. Matsumoto. Scott is the first defendant convicted of murder in the course of sex trafficking after a trial.  When sentenced, Scott faces a mandatory minimum term of 15 years in prison and up to life in prison.

Joseph Nocella, Jr., United States Attorney for the Eastern District of New York, Christopher G. Raia, Assistant Director in Charge, Federal Bureau of Investigation, New York Field Office (FBI), and Jessica S. Tisch, Commissioner, New York City Police Department (NYPD), announced the verdict.

“As proven at trial, the defendant is a murderer, sex trafficker, and abuser of women with no regard whatsoever for human life, who now faces punishment for his vicious crimes,” stated United States Attorney Nocella.  “The Penn Track has been a blight for too long and my Office and our law enforcement partners are working diligently to prosecute violent sex traffickers who promote prostitution by exploiting vulnerable victims and endangering the entire community.”

“Not only did Omari Scott force women to perform sexual acts, but he murdered those who threatened to steal his twisted source of revenue,” stated FBI Assistant Director in Charge Raia.  “Scott’s callous actions reflect an apathetic sentiment of human life, treating his victims as property and using them to profit.  May today’s conviction reflect the FBI’s unwavering commitment to dismantling sex trafficking networks which target vulnerable victims and incite violence in our city streets.”

“Omari Scott didn’t just profit from trafficking women along the Penn Track — he enforced that control through violence, including orchestrating the murder of a rival trafficker,” stated NYPD Commissioner Tisch.  “Today’s conviction holds him accountable for his brutal crimes and makes clear that this kind of violent behavior has no place on our streets. I am grateful to the NYPD investigators, the FBI, and the prosecutors in this case for bringing him to justice and for their commitment to protecting the survivors of these horrific crimes.”

As proven at trial, in April 2023, Scott learned that Jane Doe 2 was planning to leave his employ to work for Clay, who was also trafficking women on the Penn Track.  Scott was captured on a recorded call bemoaning his loss, telling an associate, “I don’t got no hoes right now.”  Scott further explained that Jane Doe 2 “chose on me,” a reference to leaving one pimp for another.  On April 30, 2023, Scott found Jane Doe 2 on the Penn Track, grabbed her by the hair, dragged her in the street and threw her into his car.  The next morning, Scott was captured on surveillance video engaged in a heated argument with Clay along the Penn Track.  Scott recruited another sex trafficker, Michael Simmons, to murder Clay, which Simmons carried out by shooting Clay multiple times at point blank range in a White Castle parking lot on the Penn Track.  Simmons then returned to Scott, who had been waiting for him in a nearby laundromat parking lot, to report that the job was done. Clay succumbed to his wounds several hours later.  Simmons pleaded guilty in January 2025 to murder in the course of sex trafficking and sex trafficking of Jane Doe 2 and is awaiting sentencing.

The government’s case is being handled by the Office’s Human Trafficking and Civil Rights Section.  Assistant United States Attorneys Erin Reid, Anna Karamigios, and Miranda Gonzalez are in charge of the prosecution, with the assistance of Paralegal Specialist Eleanor Jaffe‑Pachuilo, and additional assistance from Victim Witness Coordinator Huda Abouchaer, Victim Witness Specialist Kristina Marius, and Paralegal Specialist Paul Padilla.

The Defendant:

OMARI SCOTT (also known as “Prince” and “Sir Prince”)
Age:  44
Brooklyn, New York

Defendant Who Previously Pleaded Guilty:

MICHAEL SIMMONS (also known as “Victory”)
Age:  41
Pittsburgh, Pennsylvania

E.D.N.Y. Docket No. 24-CR-158 (KAM)

Earlier today, in federal court in Brooklyn, United States District Judge Frederic Block sentenced Sagar Steven Singh, also known as “Weep,” to 27 months’ imprisonment for conspiracy to commit computer intrusion and aggravated identify theft.  On May 30, 2025, Nicholas Ceraolo, also known as “Convict,” “Anon,” and “Ominous,” was sentenced to 25 months’ imprisonment for the same offenses.

Joseph Nocella Jr., United States Attorney for the Eastern District of New York, andMichael Alfonso, Acting Special Agent in Charge, Homeland Security Investigations, New York (HSI New York) announced the sentencings.

“The defendants breached a federal law enforcement database, used multiple means to steal sensitive personal information, and exploited that data to extort and threaten innocent people and their families,” stated United States Attorney Nocella.  “This sentence sends a clear message that my Office is committed to protecting victims from digital predators and that those who exploit vulnerabilities in government systems will face jail time.”

“The defendants impersonated law enforcement, illegally accessed government databases, and even faked life-threatening situations to bypass criminal procedures through which they could obtain sensitive personal information,” stated HSI Acting Special Agent in Charge Alfonso.  “They threatened innocent victims’ livelihoods and were found to have joked about their deceptive, exploitative, and calculated scheme in messages with each other.  As a result of the HSI New York El Dorado Task Force’s commitment to justice in this case, both men will now have months in federal prison to consider the seriousness of these crimes.”

Singh and Ceraolo belonged to a group called “ViLE,” whose logo is the body of a hanging girl.

Members of ViLE sought to collect victims’ personal information, including social security numbers.  ViLE then threatened to “dox” victims by posting that information on a public website administered by a ViLE member.  Victims could pay to have their information removed from or kept off the website.

Singh and Ceraolo unlawfully used a law enforcement officer’s stolen password to access a nonpublic, password-protected web portal (the “Portal”) maintained by a U.S. federal law enforcement agency for the purpose of sharing intelligence with state and local law enforcement.  The Portal detailed nonpublic records of narcotics and currency seizures, as well as law enforcement intelligence reports.

The defendants used their access to the Portal to extort their victims.  Singh wrote to a victim (“Victim-1”) that he would “harm” Victim-1’s family unless Victim-1 gave Singh the credentials for Victim-1’s Instagram accounts—and appended Victim-1’s social security number, driver’s license number, home address, and other personal details.  During the conversation, Singh told Victim-1 that he had “access to [] databases, which are federal, through [the] portal, i can request information on anyone in the US doesn’t matter who, nobody is safe.”  He added: “you’re gonna comply to me if you don’t want anything negative to happen to your parents.”  Singh ultimately directed Victim-1 to sell Victim-1’s accounts and give the proceeds to Singh.

After Singh and Ceraolo accessed the Portal, they both acknowledged that their conduct was criminal.  Ceraolo wrote to Singh: “were all gonna get raided one of these days i swear.”  Later that day, Singh wrote to a contact that the “portal [] i accessed i was not supposed to be there not one bit.”  Singh said he had “jacked into a police officer’s account” and “that portal had some fucking potent tools.”  Singh continued: “it gave me access to gov databases,” followed by the names of five search tools accessible through the Portal.

The government’s case is being handled by the Office’s National Security and Cybercrime Section.  Assistant United States Attorneys Alexander Mindlin, Ellen H. Sise, and Adam Amir are in charge of the prosecution.

The Defendants:

NICHOLAR CERAOLO (also known as “Convict,” “Anon,” and “Ominous)
Age:  27
Queens, New York

SAGAR STEVEN SINGH (also known as “Weep”)
Age:  21
Pawtucket, Rhode Island

E.D.N.Y. Docket No. 23-CR-236 (FB)

Earlier today, at the federal courthouse in Central Islip, Tony Ream was arraigned on an indictment charging him with wire fraud and money laundering in connection with his employment at a Long Island company (the Company).  Ream was a credit supervisor for the Company, which was a worldwide distributor of medical and dental supplies with its principal place of business in Melville, New York.  Over the course of four years, Ream sent wire transfers totaling approximately $1.6 million from the Company’s bank account to a bank account that he controlled.  The arraignment was held before Magistrate Judge Steven I. Locke.

Joseph Nocella, Jr., United States Attorney for the Eastern District of New York, and Christopher G. Raia, Assistant Director in Charge, Federal Bureau of Investigation, New York Field Office (FBI), announced the arraignment.

“As alleged, Ream is a thief who abused his authority and betrayed his employer to fund his lifestyle, including paying for the renovations of a restaurant he opened, footing the bill for his own wedding, and traveling around the world, all on the company’s dime,” stated United States Attorney Nocella.  “Embezzling company funds is a serious crime and my Office will vigorously prosecute this case to ensure Ream is held accountable for his brazen scheme.”

“Tony Ream allegedly embezzled over one million dollars from his former company by diverting corporate funds to his personal account and deceiving his subordinates into perpetuating this theft,” stated FBI Assistant Director in Charge Raia.  “Ream allegedly abused his position and stole from his former company to fund his extravagant expenses.  The FBI remains committed to investigating any individual who orchestrates a scheme to exploit their company to finance personal wish lists.”

As set forth in court filings and statements made in court, Ream was hired by the Company in 2019 to work in their credit department.  Starting in 2020 as a credit supervisor, Ream stole corporate funds from customer refund accounts and diverted the funds to his own accounts.  Additionally, while in his role as supervisor, Ream deceived employees whom he supervised into taking steps that assisted him in carrying out his fraudulent scheme.  Ream spent tens of thousands of dollars of the proceeds of his fraud on his wedding, hundreds of thousands on a failed restaurant venture in South Carolina, and tens of thousands on luxury international vacations.

The charges in the indictment are allegations and the defendant is presumed innocent unless and until proven guilty. If convicted, Ream faces up to 20 years in prison.

The government’s case is being handled by the Criminal Section of the Office’s Long Island Division.  Assistant United States Attorney Charles P. Kelly is charge of the prosecution with the assistance of Paralegal Specialist Samantha Schroder.

The Defendant:

TONY REAM (also known as “Tony Ream-Hendley” and “Tony Moul Ream”)
Age:  33
Greenville, South Carolina

E.D.N.Y. Docket No. 25-CR-179 (SJB)

A federal jury yesterday in Central Islip convicted Gary Johnson, a Bloods gang leader, on 22 counts of a second superseding indictment charging him with narcotics distribution, including distribution that resulted in three non-fatal overdoses, as well as a firearms-related crime.  The verdict followed a four-week trial before United States District Judge Joan M. Azrack. When sentenced, Johnson faces a mandatory minimum sentence of 20 years in prison and up to life in prison.

Joseph Nocella, Jr., United States Attorney for the Eastern District of New York; Christopher G. Raia, Assistant Director in Charge, Federal Bureau of Investigation, New York  Field Office (FBI); and Kevin Catalina, Commissioner, Suffolk County Police Department (SCPD), announced the verdict.

“Johnson peddled his potentially lethal drugs across Long Island while lining his pockets with profits, causing life threatening injuries to several members of our community in the process,” stated United States Attorney Nocella.  “This Office, along with our law enforcement partners, remains committed to finding, arresting, and prosecuting the drug traffickers and gang members who seek to profit from the ongoing opioid crisis and stopping all of the devastating effects these narcotics have brought with them.”

“For years, Gary Johnson, a Bloods gang leader, carelessly supplied potentially lethal quantities of heroin and fentanyl to turn a profit,” stated FBI Assistant Director in Charge Raia.  “By distributing highly addictive narcotics, Johnson demonstrated a disregard to communal health and endangered countless residents, even causing three individuals to overdose.  With the assistance from our law enforcement partners, the FBI will never cease its mission to disrupt all criminal enterprises poisoning our communities with dangerous drugs.”

“While nothing can take away the suffering of those who experienced life-threatening impacts caused by Johnson’s greed, let this sentence bring some solace that his crimes will not go unpunished,” stated SCPD Commissioner Catalina. “We will continue to collaborate with our law enforcement partners to ensure narcotics trafficking is ceased.”

As proven at trial and set forth in court filings, between June 2013 and November 2020, Johnson, a leader in the G-Shine set of the Bloods based in Suffolk County, sold fentanyl, cocaine, and heroin throughout Long Island.  The drugs the defendant sold resulted in multiple victims experiencing overdoses, including three overdoses in March and May 2020.  The jury returned a verdict convicting Johnson of multiple counts of distributing heroin, cocaine, and/or fentanyl.  In connection with the overdoses, Johnson was convicted of three counts of narcotics distribution resulting in serious bodily injury.

Johnson was also convicted of being a felon in possession of a firearm.  This charge arose from evidence recovered from Johnson’s residence when law enforcement executed a search warrant and recovered a semi-automatic firearm.  

The government’s case is being handled by the Criminal Section of the Long Island Division.  Assistant United States  Attorneys Meredith A. Arfa, Stephen Petraeus and Mark E. Misorek are in charge of the prosecution with assistance from Paralegal Specialists Dejah Turla, Rebecca Roth, and Adam Bernard, as well as Victim Witness Specialist Stephanie Marroquin.

The Defendant:

GARY JOHNSON
Age:  41
Bellport, New York

E.D.N.Y. Docket No. 20-CR-518 (S-2) (JMA)

Earlier today, in federal court in Brooklyn, United States District Judge Brian M. Cogan sentenced Michael Kuilan to 19 years’ imprisonment for selling fentanyl and heroin that caused the fatal overdose of LGBTQ activist Cecilia Gentili.  As part of the sentence, Kuilan was ordered to pay $24,482 in restitution and forfeit $30,000 and a seized firearm.  The defendant was also sentenced to serve 15 years concurrently for unlawfully possessing a firearm as a felon.  Kuilan has three prior state felony convictions for drug offenses relating to the sale of heroin. He pleaded guilty to the federal charges on September 23, 2024.

Joseph Nocella, Jr., United States Attorney for the Eastern District of New York; Frank A. Tarentino, III, Special Agent in Charge, Drug Enforcement Administration (DEA); and Jessica S. Tisch, Commissioner, New York City Police Department (NYPD), announced the plea.

“Cecilia Gentili was tragically poisoned from fentanyl-laced heroin.  Today, the perpetrators who sold the deadly drugs to Gentili are being held accountable,” stated United States Attorney Nocella.  “This Office will be relentless in prosecuting fentanyl dealers.”

"Michael Kuilan sold the lethal drugs that took the life of LGBTQIA+ activist and leader Cecilia Gentili, and now, he is being held accountable for this horrible crime," said NYPD Commissioner Tisch.  “While we can sadly never bring Cecilia back, today, some semblance of justice is finally being served.  I thank the NYPD investigators, the DEA, and the U.S. Attorney’s Office for their work in delivering justice in this case.”

According to court documents and facts presented in court, on February 6, 2024, Gentili was found dead in her bedroom in Brooklyn.  Gentili died due to the combined effect of controlled substances, including fentanyl, xylazine, cocaine, and heroin.  Text messages and other evidence revealed that co-defendant Antonio Venti sold the fentanyl and heroin mixture to Gentili on February 5, 2024, and that Kuilan supplied Venti with those lethal narcotics.  When law enforcement searched an apartment in Williamsburg, Brooklyn belonging to Kuilan, they found hundreds of baggies of fentanyl, a handgun, and ammunition.

On February 12, 2025, Judge Cogan sentenced Venti to five years’ imprisonment for the same drug offense.

The government’s case is being handled by the Office’s International Narcotics and Money Laundering Section.  Assistant United States Attorney Adam Amir is in charge of the prosecution, with the assistance of Paralegal Specialist Samuel Ronchetti.

The Defendant:

MICHAEL KUILAN
Age:  45
Brooklyn, New York

Previously Sentenced Defendant:

ANTONIO VENTI
Age:  53
West Babylon, New York

E.D.N.Y. Docket No. 24-CR-130 (BMC)

Earlier today, Joseph Neumeyer, a dual U.S. and German citizen was arrested at John F. Kennedy International Airport by FBI special agents and a complaint was unsealed in the Eastern District of New York charging Neumeyer with attempting to destroy, by means of fire or explosive, the Branch Office of the United States Embassy located in Tel Aviv, Israel. Neumeyer was deported by Israeli authorities to the United States. Neumeyer made his initial court appearance before U.S. Magistrate Judge Peggy Kuo of the Eastern District of New York and was ordered detained.

As alleged in the complaint, Neumeyer arrived in Israel in April 2025. On May 19, Neumeyer, 28, arrived outside of the U.S. Embassy in Tel Aviv carrying a dark-colored backpack. Without provocation Neumeyer spit on an Embassy guard as he walked past. Neumeyer managed to break free as the guard attempted to detain him, leaving behind his backpack. A search of Neumeyer’s backpack revealed three rudimentary improvised incendiary devices commonly known as Molotov cocktails. Law enforcement tracked Neumeyer to his hotel, where he was arrested. Neumeyer’s social media revealed that earlier in the day on May 19, he posted, “join me as I burn down the embassy in Tel Aviv. Death to America, death to Americans, and f---k the west.”  Law enforcement authorities confirmed the presence of flammable fluid in the devices. Other social media posts from an account believed to be used by Neumeyer revealed his threats to assassinate President Trump. On May 25, Israeli authorities returned Neumeyer to the United States.

“This defendant is charged with planning a devastating attack targeting our embassy in Israel, threatening death to Americans, and President Trump’s life,” said Attorney General Pamela Bondi. “The Department will not tolerate such violence and will prosecute this defendant to the fullest extent of the law.”

“As alleged, Neumeyer, armed with potentially lethal devices, sought to cause chaos and destruction at the U.S.Embassy in Tel Aviv,” said U.S. Attorney Joseph Nocella for the Eastern District of New York.  “His arrest and prosecution clearly show that my Office and the Department of Justice will not tolerate violence in our homeland or violence targeting U.S. interests abroad.”

“The defendant is charged with attempting to firebomb the U.S. Embassy and making threats to President Trump,” said FBI Director Kash Patel. “This despicable and violent behavior will not be tolerated at home or abroad, and the FBI, working with our partners, will bring him to face justice for his dangerous actions.”

If convicted, Neumeyer faces a minimum of five years in prison and a maximum of 20 years in prison, and a maximum fine in the amount of $250,000. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.

The FBI Washington Field Office is investigating this case with assistance from the FBI New York Field Office. The Justice Department’s Office of International Affairs and the FBI Legal Attaché’s Office in Israel provided substantial assistance. The Justice Department thanks our Israeli law enforcement partners, whose actions ensured that no lives were lost.

Acting Deputy Chief Frank Rangoussis of the Criminal Division’s Human Rights and Special Prosecutions Section and Assistant U.S. Attorney Lindsey Oken for the Eastern District of New York are prosecuting the case with assistance from Trial Attorney Ryan White of the National Security Division’s Counterterrorism Section.

A criminal complaint is merely an allegation, and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.

BROOKLYN, NY – Earlier today, at the federal courthouse in Brooklyn, a complaint was unsealed charging Joseph Neumeyer, a dual U.S. and German citizen, with attempting to destroy, by means of fire or explosive, the Branch Office of the United States Embassy located in Tel Aviv, Israel.  Neumeyer was deported by Israel to the Eastern District of New York on May 24, 2025 and made his initial court appearance this afternoon before United States Magistrate Judge Peggy Kuo.  Neumeyer was ordered detained pending trial.

United States Attorney General Pamela Bondi; Joseph Nocella, Jr., United States Attorney for the Eastern District of New York; and Steven J. Jensen, Assistant Director in Charge, Federal Bureau of Investigation, Washington Field Office (FBI), announced the arrest and charge.

“This defendant is charged with planning a devastating attack targeting our embassy in Israel, threatening death to Americans, and President Trump’s life,” stated Attorney General Bondi.  “The Department will not tolerate such violence and will prosecute this defendant to the fullest extent of the law.”

The Justice Department thanks our Israeli law enforcement partners, whose actions ensured that no lives were lost.

“As alleged, Neumeyer, armed with potentially lethal devices, sought to cause chaos and destruction at the United States Embassy in Tel Aviv,” stated United States Attorney Nocella.  “His arrest and prosecution clearly show that my Office and the Department of Justice will not tolerate violence in our homeland or violence targeting U.S. interests abroad.”

Mr. Nocella also thanked the FBI’s New York Field Office for their assistance.  Mr. Nocella expressed his appreciation to the FBI’s Legal Attaché in Tel Aviv, the U.S. Embassy Branch Office Tel Aviv, Department of State Diplomatic Security Service, the government of Israel, Israel National Police, Enforcement and the Foreigners Administration at the Israeli Population and Immigration Authority for their valuable cooperation.  U.S. Customs and Border Protection also provided logistical assistance for the defendant’s arrest at John F. Kennedy International Airport.

“Neumeyer not only made threats against Americans and U.S. diplomatic missions, but also allegedly attempted to carry out those threats by bringing potentially deadly devices to the U.S. Embassy in Tel Aviv,” stated FBI Assistant Director in Charge Jensen.  “Let his arrest carry an unmistakable message: The FBI and our partners will aggressively pursue those who attempt to harm U.S. citizens and interests abroad.”

As alleged in the complaint, Neumeyer arrived in Israel in April 2025. On May 19, 2025, Neumeyer posted on his Facebook account “join me this afternoon in Tel Aviv we are burning down the US. embassy” and “join me as I burn down the embassy in Tel Aviv.  Death to America. Death to Americans and f—k the west.”  That same day, Neumeyer arrived outside the Branch Office of the Embassy of the United States in Tel Aviv carrying a backpack.  Neumeyer approached an Embassy guard and spat on the guard.  The guard attempted to detain Neumeyer who uttered profanities before turning and fleeing, leaving his backpack behind.  Law enforcement recovered from Neumeyer’s backpack several bottles that had been turned into improvised incendiary devices, commonly known as “Molotov cocktails.”  Authorities confirmed the presence of flammable fluid in the bottles. Law enforcement tracked Neumeyer to the hotel where he was staying, and he was placed under arrest.

Neumeyer’s social media accounts also contained threatening posts that, among other things, called for the assassination of President Donald J. Trump. 

The charge in the complaint is an allegation and the defendant is presumed innocent unless and until proven guilty.  If convicted, Neumeyer faces a mandatory minimum sentence of five years in prison and a maximum of 20 years in prison.

The government’s case is being handled by the Office’s National Security and Cybercrime Section.  Assistant United States  Attorney Lindsey R. Oken is in charge of the prosecution, with assistance from Acting Deputy Chief Frank Rangoussis of the Criminal Division’s Human Rights and Special Prosecutions Section and Trial Attorney Ryan White of the National Security Division’s Counterterrorism Section.

The Defendant:

JOSEPH PATRICK NEUMEYER
Age:  28
Colorado

BROOKLYN, NY – Georgian national Michail Chkhikvishvili, also known as “Mishka,” “Michael,” “Commander Butcher,” and “Butcher,” was extradited to the United States from Moldova on May 22, 2025 and will be arraigned in federal court in Brooklyn this morning before United States Magistrate Judge Peggy Kuo.  Chkhikvishvili was arrested in Chișinău, Moldova in July 2024 in connection with a four-count indictment returned in the Eastern District of New York charging him with soliciting hate crimes and acts of mass violence in New York City.  Chkhikvishvili is a leader of the Maniac Murder Cult, also known as “Maniacs Murder Cult,” “Maniacs: Cult of Killing,” “MKY,” “MMC,” and “MKU,” an international racially motivated violent extremist group.  As alleged in the indictment, Chkhikvishvili recruited people to commit violent acts in furtherance of MKY’s ideologies, including planning and soliciting a mass casualty attack in New York City.

United States Attorney General Pamela Bondi; Joseph Nocella, Jr., United States Attorney for the Eastern District of New York; Christopher G. Raia, Assistant Director in Charge, Federal Bureau of Investigation, New York Field Office (FBI); and Jessica S. Tisch, Commissioner, New York City Police Department (NYPD), announced the extradition.

“This case is a stark reminder of the kind of terrorism we face today: online networks plotting unspeakable acts of violence against children, families, and the Jewish community in pursuit of a depraved, extremist ideology,” stated Attorney General Bondi.  “The Department of Justice will not tolerate hate-fueled violence, and we will pursue those who threaten innocent lives wherever they may be.”

“As alleged, the defendant, a white supremacist, recruited others to participate in a violent campaign of hatred against racial minorities and the Jewish community and to engage in the mass killing of children and others in these communities using poison, suicide bombs, firearms, arson fires, and vehicle explosions.  Today’s extradition is a giant step forward in holding the defendant accountable for his unspeakably reprehensible and vile efforts to spread fear, chaos, and hate,” stated United States Attorney Nocella.  “Protecting our homeland, city, district, and country from violent extremists will always be one of the top priorities of the Justice Department and my Office.”

Mr. Nocella praised the outstanding investigative work of the FBI’s New York Joint Terrorism Task Force, which consists of investigators and analysts from the FBI, the New York City Police Department, and over 50 other federal, state, and local agencies, Department of State, and U.S. Customs and Border Protection.  Mr. Nocella also thanked the Justice Department’s Office of International Affairs and the government of Moldova for their crucial assistance in securing Chkhikvishvili’s arrest and extradition. 

“Michail Chkhikvishvili allegedly attempted to recruit people to commit mass casualty attacks here in New York City —specifically targeting the Jewish community—in the name of his heinous and depraved ideology,” stated FBI Assistant Director in Charge Raia.  “This extradition is a clear sign the FBI, our Joint Terrorism Task Force, and law enforcement partners are committed to protecting our nation and city and will bring any individual desiring to enact racially motivated violence to justice—no matter where in the world they are located.”

“This defendant allegedly planned to poison Jewish children and carry out mass murder in New York City,” stated NYPD Commissioner Tisch.  “He incited bombings, arsons, and violence against racial and religious minorities – driven by a hateful Neo-Nazi ideology. These weren’t idle threats. They were detailed plans. This extradition demonstrates the reach and the determination of American law enforcement agencies to track down the most dangerous and depraved of criminals. Thanks to the exceptional work of the NYPD, the FBI, the Justice Department, and the U.S. Attorney’s Office, we have sent a clear message: hate has no place in our city and justice will be served.”

Chkhikvishvili’s MKY adheres to a Neo-Nazi accelerationist ideology and promotes violence against racial minorities, the Jewish community, and other groups it deems “undesirables.” MKY members share a common goal of challenging social order and governments via terrorism and violent acts that promote fear and chaos.  MKY has members in the United States and abroad.

Since approximately September 2021, Chkhikvishvili has distributed a manifesto titled the “Hater’s Handbook” to MKY members and others.  The Hater’s Handbook encourages people to commit acts of mass violence. In the Hater’s Handbook, Chkhikvishvili states that he has “murdered for the white race” and encourages others to commit acts of mass violence and “ethnic cleansing.”  For example, the Hater’s Handbook encourages its readers to commit school shootings and to use children to perpetrate suicide bombings and other mass killings targeting racial minorities.  It also describes methods and strategies for committing mass “terror attacks,” including, for example, using vehicles to target “large outdoor festivals, conventions, celebrations, “parades,” and “pedestrian congested streets.”  The Hater’s Handbook specifically encourages committing attacks within the United States.

In June 2022, Chkhikvishvili traveled to Brooklyn.  As alleged, as early as July 2022, Chkhikvishvili repeatedly encouraged others, primarily via encrypted mobile messaging platforms, to commit violent hate crimes and other acts of violence on behalf of MKY.  This included conspiring to solicit violent acts with the leader of a separate violent extremist Neo-Nazi group.  It also included soliciting acts of mass violence in New York from an individual who claimed to be a prospective MKY recruit, but who, unbeknownst to Chkhikvishvili, was actually an undercover FBI employee (the UC).  

In a September 2023 conversation, the UC messaged Chkhikvishvili asking whether there was an application process to join MKY.  The defendant responded, “we ask people for brutal beating, arson/explosion, or murder vids on camera.”  Chkhikvishvili further stated that “[p]oisoning and arson are best options for murder,” and suggested also considering a larger “mass murder […]” within the United States.  Chkhikvishvili advised the UC that the victims of these acts should be “low race targets.”

Beginning in approximately November 2023, Chkhikvishvili solicited the UC to commit violent crimes, such as bombings and arsons, for the purpose of harming racial minorities, Jewish individuals, and others.  Chkhikvishvili provided detailed plans and materials such as bomb-making instructions and guidance on making Molotov cocktails to facilitate carrying out these crimes.  In November 2023, Chkhikvishvili began planning a mass casualty attack in New York City to take place on New Year’s Eve. The scheme involved an individual dressing up as Santa Claus and handing out candy laced with poison to racial minorities.  In January, the scheme evolved and Chkhikvishvili specifically directed the UC to target the Jewish community, Jewish schools, and Jewish children in Brooklyn with poison.  Chkhikvishvili drafted step-by-step instructions to carry out the scheme and shared detailed manuals about creating and mixing lethal poisons and gases with the UC.  He also instructed the UC on methods of making ricin-based poisons in powder and liquid form, including by extracting ricin from castor beans.  Chkhikvishvili distributed materials linked to radical Islamist jihadist groups and designated foreign terrorist organizations such as ISIS. 

Chkhikvishvili wanted the planned attack to be a “bigger action than Breivik,” referring to Anders Behring Breivik, a Norwegian Neo‑Nazi who killed 77 people in a bombing and mass shooting in Norway in 2011. Meanwhile, Chkhikvishvili told others of his plan and claimed to have previously committed other hate crimes while living in Brooklyn in 2022.  Chkhikvishvili boasted to others that he was “glad I have murdered,” and that he would “murder more” but “make others murder first.”

Chkhikvishvili’s solicitations of violence have resulted in multiple attacks and killings around the world.  In August 2024, an individual livestreamed himself stabbing approximately five people outside of a mosque in Eskisehir, Turkey, wearing a tactical vest adorned in Nazi symbols.  A manifesto attributed to the attacker included explicit references to Chkhikvishvili and to violent statements made by him.  Before the attack, the attacker also distributed a link to the Hater’s Handbook, authored by Chkhikvishvili, and other violent propaganda.

The charges in the indictment are allegations, and the defendant is presumed innocent unless and until proven guilty.  If convicted, Chkhikvishvili faces a maximum sentence of 20 years’ imprisonment for solicitation of violent felonies (including hate crime acts and transporting an explosive with intent to kill or injure), five years’ imprisonment for conspiring to solicit violent felonies, 20 years’ imprisonment for distributing information pertaining to the making and use of explosive devices and ricin poison, and five years’ imprisonment for transmitting threatening communications.

The government’s case is being handled by the Office’s National Security and Cybercrime Section.  Assistant United States Attorneys Ellen H. Sise and Andrew D. Reich are in charge of the prosecution, with assistance from Trial Attorney Jennifer Levy of the National Security Division’s Counterterrorism Section and Paralegal Specialists Wayne Colon and Rebecca Roth.  The Justice Department’s Civil Rights Division also provided assistance.

The Defendant:

MICHAIL CHKHIKVISHVILI (also known as “Mishka,” “Michael,” “Commander Butcher,” and “Butcher”)
Age:  21
Tbilisi, Georgia

E.D.N.Y. Docket No. 24-CR-286 (CBA)

Defendant Allegedly Planned Scheme to Distribute Poisoned Candy on New Year’s Eve

Georgian national Michail Chkhikvishvili, also known as Mishka, Michael, Commander Butcher, and Butcher, 21, of Tbilisi, was extradited to the United States from Moldova on May 22, and will be arraigned in federal court in Brooklyn today. Chkhikvishvili was arrested in Chișinău, Moldova, in July 2024 in connection with a four-count indictment returned in the Eastern District of New York charging him with soliciting hate crimes and acts of mass violence in New York City.

According to court documents, Chkhikvishvili is a leader of the Maniac Murder Cult, also known as Maniacs Murder Cult, Maniacs: Cult of Killing, MKY, MMC and MKU, an international racially-motivated violent extremist group. As alleged in the indictment, Chkhikvishvili recruited people to commit violent acts in furtherance of MKY’s ideologies, including planning and soliciting a mass casualty attack in New York City.

“This case is a stark reminder of the kind of terrorism we face today: online networks plotting unspeakable acts of violence against children, families, and the Jewish community in pursuit of a depraved, extremist ideology,” said Attorney General Pamela Bondi. “The Department of Justice will not tolerate hate-fueled violence, and we will pursue those who threaten innocent lives wherever they may be.”

“The defendant is accused of recruiting others to kill Jewish people, kill racial minorities, and of providing instructions on how to commit other lethal attacks — even targeting children around the holidays by poisoning candy,” said FBI Director Kash Patel. “These allegations are despicable, and thanks to the work and partnership of the FBI and the authorities in Moldova, Michail Chkhikvishvili has been brought to the United States to face charges in our justice system.”

“As alleged, the defendant, a white supremacist, recruited others to participate in a violent campaign of hatred against racial minorities and the Jewish community and to engage in the mass killing of children and others in these communities using poison, suicide bombs, firearms, arson fires, and vehicle explosions. Today’s extradition is a giant step forward in holding the defendant accountable for his unspeakably reprehensible and vile efforts to spread fear, chaos, and hate,” said U.S. Attorney Joseph Nocella Jr. for the Eastern District of New York. “Protecting our homeland, city, district, and country from violent extremists will always be one of the top priorities of the Justice Department and my office.”

Chkhikvishvili’s MKY adheres to a neo-Nazi accelerationist ideology and promotes violence against racial minorities, the Jewish community and other groups it deems “undesirables.” MKY members share a common goal of challenging social order and governments via terrorism and violent acts that promote fear and chaos. MKY has members in the United States and abroad.

Since approximately September 2021, Chkhikvishvili has distributed a manifesto titled the “Hater’s Handbook” to MKY members and others. The Hater’s Handbook encourages people to commit acts of mass violence. In the Hater’s Handbook, Chkhikvishvili states that he has “murdered for the white race” and encourages and instructs others to commit acts of mass violence and “ethnic cleansing.” For example, the Hater’s Handbook encourages its readers to commit school shootings and to use children to perpetrate suicide bombings and other mass killings targeting racial minorities. The Hater’s Handbook describes methods and strategies for committing mass “terror attacks,” including, for example, using vehicles to target “large outdoor festivals, conventions, celebrations and parades” and “pedestrian congested streets.” The Hater’s Handbook specifically encourages committing attacks within the United States.

In June 2022, Chkhikvishvili traveled to Brooklyn. As alleged, beginning at least as early as July 2022, Chkhikvishvili repeatedly encouraged others, primarily via the encryption-enabled mobile messaging platform Telegram, to commit violent hate crimes and other acts of violence on behalf of MKY. This included conspiring to solicit violent acts with the leader of a separate violent extremist neo-Nazi group, and soliciting acts of mass violence in New York from an individual who claimed to be a prospective MKY recruit, but who, unbeknownst to Chkhikvishvili, was actually an undercover FBI employee (the UC).

In a September 2023 conversation, the UC messaged Chkhikvishvili asking whether there was an application process to join MKY. The defendant responded, “we ask people for brutal beating, arson/explosion or murder vids on camera.” Chkhikvishvili further stated that “[p]oisoning and arson are best options for murder,” and suggested also considering a larger “mass murder[]” within the United States. Chkhikvishvili advised the UC that the victims of these acts should be “low race targets.”

Beginning in approximately November 2023, Chkhikvishvili solicited the UC to commit violent crimes, such as bombings and arsons, for the purpose of harming racial minorities, Jewish individuals and others. Chkhikvishvili provided detailed plans and materials such as bomb-making instructions and guidance on making Molotov cocktails to facilitate carrying out these crimes. In November 2023, Chkhikvishvili began planning a mass casualty attack in New York City to take place on New Year’s Eve. The scheme involved an individual dressing up as Santa Claus and handing out candy laced with poison to racial minorities.

In January, the scheme evolved and Chkhikvishvili specifically directed the UC to target the Jewish community, Jewish schools, and Jewish children in Brooklyn with poison. Chkhikvishvili drafted step-by-step instructions to carry out the scheme and shared detailed manuals about creating and mixing lethal poisons and gases with the UC. He also instructed the UC on methods of making ricin-based poisons in powder and liquid form, including by extracting ricin from castor beans. Chkhikvishvili sent materials linked to radical Islamist jihadist groups and designated foreign terrorist organizations such as ISIS. 

Chkhikvishvili wanted the planned attack to be a “bigger action than Breivik,” referring to Anders Behring Breivik, a Norwegian neo‑Nazi who killed 77 people in a bombing and mass shooting in Norway in 2011. Meanwhile, Chkhikvishvili told others of his plan and claimed to have previously committed other hate crimes while living in Brooklyn in 2022. Chkhikvishvili boasted to others that he was “glad I have murdered,” and that he would “murder more” but “make others murder first.”     

Chkhikvishvili’s solicitations of violence have resulted in multiple attacks and killings around the world. In August 2024, an individual livestreamed himself stabbing approximately five people outside of a mosque in Eskisehir, Turkey, wearing a tactical vest adorned in Nazi symbols. A manifesto attributed to the attacker included explicit references to Chkhikvishvili and to violent statements made by him. Before the attack, the attacker also distributed a link to the Hater’s Handbook, authored by Chkhikvishvili, and other violent propaganda.

If convicted, Chkhikvishvili faces a maximum penalty of 20 years in prison for solicitation of violent felonies (including hate crime acts and transporting an explosive with intent to kill or injure); five years in prison for conspiring to solicit violent felonies; 20 years in prison for distributing information pertaining to the making and use of explosive devices and ricin poison; and five years in prison for transmitting threatening communications.

The FBI’s New York Joint Terrorism Task Force which consists of investigators and analysts from the FBI, the New York City Police Department, and over 50 other federal, state, and local agencies, as well as the Department of State, and U.S. Customs and Border Protection are investigating the case. The Justice Department’s Office of International Affairs and the U.S. Department of State’s Diplomatic Security Service (DSS) agents provided significant assistance in securing the arrest and extradition of Chkhikvishvili from Moldova.

Assistant U.S. Attorneys Ellen H. Sise and Andrew D. Reich for the Eastern District of New York and Trial Attorney Jennifer Levy of the National Security Division’s Counterterrorism Section are prosecuting the case, with valuable assistance from Paralegal Specialists Wayne Colon and Rebecca Roth. The Justice Department’s Civil Rights Division has also provided assistance.

An indictment is merely an allegation. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.